DCM SHRIRAM LIMITED Intrinsic Value

DCMSHRIRAM · Diversified · Current price ₹1,022.9

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DocStoX fair value
₹696
low confidence
Current price
₹1,023
Upside to fair value
-32.0%
Verdict
Avoid
Quality score
3.6 / 10
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Is DCM SHRIRAM LIMITED undervalued?

DocStoX estimates the fair value of DCM SHRIRAM LIMITED at ₹696 per share, versus the current market price of ₹1,023. That puts the stock about -32.0% 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 3 independent methods: Residual income (₹490), Relative P/E (₹1,060), Graham floor (₹781). 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 ₹490 (bear) to ₹696 (base) to ₹1,060 (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 ₹1,023 versus an intrinsic value of ₹696, DCM SHRIRAM LIMITED currently offers -32.0% of negative margin (i.e. a premium).

More on DCM SHRIRAM LIMITED

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.