CHENNAI PETROLEUM CORP LT Valuation

CHENNPETRO · Oil Gas & Consumable Fuels · Current price ₹1,200.6

Full stock page
DocStoX fair value
₹1,584
medium confidence
Current price
₹1,201
Upside
+31.9%
P/E ratio
5.8x
P/B ratio
1.5x
Verdict
Buy
Model it yourself — Earnings Yield Calculator
Opens pre-filled with CHENNAI PETROLEUM CORP LT's latest numbers.

Is CHENNAI PETROLEUM CORP LT undervalued?

DocStoX estimates the fair value of CHENNAI PETROLEUM CORP LT at ₹1,584 per share, versus the current market price of ₹1,201. That puts the stock about +31.9% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹1,681), Relative P/E (₹1,134), Graham floor (₹1,870). 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 ₹1,134 (bear) to ₹1,584 (base) to ₹1,870 (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

CHENNAI PETROLEUM CORP LT trades at a P/E of 5.8x and a P/B of 1.5x, with a dividend yield of 0.7%. 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 CHENNAI PETROLEUM CORP LT

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.