Dredging Corporation of India Limited DCF Valuation
DREDGECORP · Services · Current price ₹891
Dredging Corporation of India Limited cash-flow valuation
Our residual income (excess return on book) values Dredging Corporation of India Limited at ₹312 per share. Book value plus the present value of returns earned above the 10.6% cost of equity. It carries 100% of the weight in our published estimate of ₹312. A discounted cash flow is only as good as the cash-flow path it assumes, so the assumptions behind it are listed in full below.
Try your own assumptions
Prefer to build the discounted cash flow yourself? The DCF calculator below opens pre-filled with Dredging Corporation of India Limited's reported free cash flow, net debt and share count, so you can set your own growth and discount rate.
How we got this fair value
Every number below is part of the same estimate for Dredging Corporation of India 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 ₹281 – ₹343
Why this method for this business
Residual income is the only viable model for a capital-intensive, cyclical dredging business with erratic earnings and no durable moat.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
Book value plus the present value of returns earned above the 10.6% cost of equity
- dcf: DCF is unsuitable for a capital-intensive business with volatile cash flows and no clear growth trajectory
- relative_pe: P/E multiples are not applicable for a cyclical, earnings-unstable business
What was missing
- Forward estimates
- Detailed capital expenditure plans
- Long-term project pipeline visibility
What drives it
5 inputs, grouped by how strong each claim is
- ROE (normalized)
- 0.3%
- Book value / share
- 418.2 ₹
computed
reported
- Cost of equity
- 10.6%
building-block
- Moat
- None
- Excess-return horizon
- 3 yrs
computed
computed
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Dredging Corporation of India 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 15 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 Dredging Corporation of India Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.