AJANTA PHARMA LIMITED Intrinsic Value

AJANTPHARM · Healthcare · Current price ₹3,505

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DocStoX fair value
₹2,003
low confidence
Current price
₹3,505
Upside to fair value
-42.9%
Verdict
Avoid
Quality score
6.2 / 10
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Is AJANTA PHARMA LIMITED undervalued?

DocStoX estimates the fair value of AJANTA PHARMA LIMITED at ₹2,003 per share, versus the current market price of ₹3,505. That puts the stock about -42.9% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 4 independent methods: Residual income (₹1,017), Relative P/E (₹3,306), Graham floor (₹830), Analyst target (₹3,701). 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 ₹830 (bear) to ₹2,003 (base) to ₹3,701 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Margin of safety

Value investors demand a margin of safety — a discount to intrinsic value that protects against being wrong. At ₹3,505 versus an intrinsic value of ₹2,003, AJANTA PHARMA LIMITED currently offers -42.9% of negative margin (i.e. a premium).

More on AJANTA PHARMA LIMITED

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.