ALKEM LABORATORIES LTD. DCF Valuation

ALKEM · Healthcare · Current price ₹5,563

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DocStoX fair value
₹2,870
low confidence
Intrinsic-value estimate
₹1,562
19% ROE fading to 12% over ~10 yrs, on ₹1156 book
Current price
₹5,563
Economic moat
Narrow
Medium uncertainty
5Y profit growth
+7.8%
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ALKEM LABORATORIES LTD. intrinsic-value estimate

Our intrinsic-value model estimates ALKEM LABORATORIES LTD. is worth ₹1,562 per share, based on 19% ROE fading to 12% over ~10 yrs, on ₹1156 book. Rather than a raw DCF — which is highly sensitive to fragile cash-flow forecasts — we use a residual-income (excess-return) model: a company is worth its book value plus the present value of the returns it earns ABOVE its cost of equity. A narrow economic moat sets how long that edge is assumed to last.

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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.