Crompton Greaves Consumer Electricals Limited Intrinsic Value
CROMPTON · Consumer Durables · Current price ₹215.5
Is Crompton Greaves Consumer Electricals Limited undervalued?
We estimate the fair value of Crompton Greaves Consumer Electricals Limited at ₹114 per share, against a market price of ₹231. That puts the share price about -50.6% above our estimate, at medium confidence. This is our view of what the business is worth, not a target price or a forecast of where the share price will go.
How this fair value is calculated
This estimate comes from 1 method: Discounted cash flow (2-stage) (₹114). Each is weighted by how well its inputs held up for this company. The full working, including the assumptions and what data was missing, is set out below.
The range around this estimate
Our estimate for Crompton Greaves Consumer Electricals Limited spans ₹103 to ₹126. A margin of safety means buying meaningfully below the estimate: the wider the range, the more room the assumptions leave for error.
Margin of safety
Value investors look for a margin of safety: a discount to estimated value that absorbs being wrong. At ₹231 against an estimated value of ₹114, Crompton Greaves Consumer Electricals Limited trades at -50.6%, i.e. a premium to our estimate. How much margin to demand depends on how much you trust the inputs, which is what the confidence band below is for.
How we got this fair value
Every number below is part of the same estimate for Crompton Greaves Consumer Electricals Limited. Nothing here is a target price or a forecast of where the share price will go.
Workable, with real gaps. Weigh it alongside your own view rather than on its own.
Estimate range ₹103 – ₹126
Why this method for this business
Crompton is an asset-light consumer brand with durable earnings power, making DCF and EV/Sales the most relevant models. DCF captures intrinsic value from normalized earnings, while EV/Sales reflects market sentiment on its brand and growth potential.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
Intrinsic value from 2-stage discounted cash flows (primary for asset-light / normal businesses); FCFE path
required inputs missing
- Discounted cash flow (2-stage) is the primary model, but EV/Sales is included to capture market-based valuation. Other models like P/B or P/E are not suitable for a cyclical consumer brand with volatile earnings.
What was missing
- Lack of forward-looking analyst estimates for key metrics
- Limited data on brand equity and customer loyalty metrics
What drives it
12 inputs, grouped by how strong each claim is
- FCF_0 (normalized)
- 570 ₹cr
- Net debt
- 199.2 ₹cr
fcf_norm (median ≤5y positive)
gross debt (cash n/a)
- Discount rate (r)
- 14.4%
- Beta
- 1
COE (building-block)
bottom-up industry
- Stage-1 start growth
- 8%
- Fade shape
- linear
- Terminal growth (g)
- 5.38%
- Stage-1 years
- 9 y
lifecycle-floor
lifecycle Turnaround
macro terminal × quality premium
lifecycle Turnaround horizon
- Lifecycle stage
- Turnaround
- Quality premium
- 1.075×
forecast engine (L20)
moat Narrow + capital allocation
- Path
- FCFE
- Terminal-value fraction
- 0.486
computed (D/E vs 0.8)
PV_TV / (PV_1+PV_TV)
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Crompton Greaves Consumer Electricals Limited: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on Crompton Greaves Consumer Electricals Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.