BHEL Intrinsic Value
BHEL · Capital Goods · Current price ₹423.2
Is BHEL undervalued?
DocStoX estimates the fair value of BHEL at ₹189 per share, versus the current market price of ₹423. That puts the stock about -55.3% 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 (₹69), Relative P/E (₹321), Graham floor (₹88), Analyst target (₹401). 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 ₹69 (bear) to ₹189 (base) to ₹401 (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 ₹423 versus an intrinsic value of ₹189, BHEL currently offers -55.3% of negative margin (i.e. a premium).
More on BHEL
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.