Aruna Hotels Ltd Valuation

ARUNAHTEL · Leisure Services · Current price ₹7.24

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DocStoX fair value
₹8
high confidence
Current price
₹7
Upside
+4.5%
P/E ratio
30.2x
P/B ratio
-0.5x
Verdict
Fairly Valued
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Is Aruna Hotels Ltd undervalued?

DocStoX estimates the fair value of Aruna Hotels Ltd at ₹8 per share, versus the current market price of ₹7. That puts the stock about +4.5% below our fair-value estimate, which we read as "Fairly Valued". Our confidence in this estimate is high.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹7), Relative P/E (₹9), Graham floor (₹7). 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 ₹6 (bear) to ₹8 (base) to ₹9 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Valuation multiples

Aruna Hotels Ltd trades at a P/E of 30.2x and a P/B of -0.5x, with a dividend yield of 0.0%. Multiples are most useful compared against the company's own history and its sector peers — see the peer comparison for context.

Understand the ratios

More on Aruna Hotels 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.