BIRLA CORPORATION LTD Fair Value

BIRLACORPN · Construction Materials · Current price ₹881

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DocStoX fair value
₹1,286
low confidence
Current price
₹881
Upside to fair value
+45.9%
Verdict
Buy
Quality score
5.0 / 10
Valuation methods
MethodFair valueStatus
Residual income₹8988% ROE fading to 13% over ~3 yrs, on ₹956 book
Relative P/E₹2,179EPS × 30.1 peer-median P/E
Graham floor₹1,248Conservative floor: √(22.5 × EPS × book value/share)
Analyst target₹1,177Street consensus 12-month target price
Model it yourself — Margin of Safety Calculator
Opens pre-filled with BIRLA CORPORATION LTD's latest numbers.

Is BIRLA CORPORATION LTD undervalued?

DocStoX estimates the fair value of BIRLA CORPORATION LTD at ₹1,286 per share, versus the current market price of ₹881. That puts the stock about +45.9% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 4 independent methods: Residual income (₹898), Relative P/E (₹2,179), Graham floor (₹1,248), Analyst target (₹1,177). 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 ₹898 (bear) to ₹1,286 (base) to ₹2,179 (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 BIRLA CORPORATION 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.