AAREY DRUGS & PHARM LTD Fair Value

AAREYDRUGS · Healthcare · Current price ₹92.52

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DocStoX fair value
₹48
high confidence
Current price
₹93
Upside to fair value
-48.4%
Verdict
Avoid
Quality score
2.2 / 10
Valuation methods
MethodFair valueStatus
Residual income₹463% ROE fading to 13% over ~3 yrs, on ₹53 book
Relative P/E₹55EPS × 39.1 peer-median P/E
Graham floor₹41Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with AAREY DRUGS & PHARM LTD's latest numbers.

Is AAREY DRUGS & PHARM LTD undervalued?

DocStoX estimates the fair value of AAREY DRUGS & PHARM LTD at ₹48 per share, versus the current market price of ₹93. That puts the stock about -48.4% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is high.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹46), Relative P/E (₹55), Graham floor (₹41). We weight each by its reliability and skip any method whose inputs look untrustworthy — "no DCF beats a wrong DCF". This is the same deterministic engine that powers DocStoX stock pages; there is no guesswork or AI-generated number here.

Bear, base and bull scenarios

Our scenarios span ₹41 (bear) to ₹48 (base) to ₹55 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

More on AAREY DRUGS & PHARM LTD

DocStoX estimates are generated by a deterministic valuation engine from reported financials — for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.