Covance Softsol Ltd Fair Value
COVANCE · Information Technology · Current price ₹155.6
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹71 | 6% ROE fading to 12% over ~3 yrs, on ₹76 book |
| Relative P/E | ₹74 | EPS × 22.4 peer-median P/E |
| Graham floor | ₹75 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | — | No analyst coverage |
Is Covance Softsol Ltd undervalued?
DocStoX estimates the fair value of Covance Softsol Ltd at ₹72 per share, versus the current market price of ₹156. That puts the stock about -53.4% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is high.
How this fair value is calculated
This estimate blends 3 independent methods: Residual income (₹71), Relative P/E (₹74), Graham floor (₹75). 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 ₹62 (bear) to ₹72 (base) to ₹83 (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 Covance Softsol 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.