GNG Electronics Limited Valuation

EBGNG · Information Technology · Current price ₹711.6

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DocStoX fair value
₹433
medium confidence · 66/100
Current price
₹680
Upside to fair value
-36.3%
Estimate range
₹389 – ₹476
P/E ratio
61.5x
P/B ratio
10.2x
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Is GNG Electronics Limited undervalued?

We estimate the fair value of GNG Electronics Limited at ₹433 per share, against a market price of ₹680. That puts the share price about -36.3% 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: Fair multiple (P/E) (₹433). 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 GNG Electronics Limited spans ₹389 to ₹476. A margin of safety means buying meaningfully below the estimate: the wider the range, the more room the assumptions leave for error.

Valuation multiples

GNG Electronics Limited trades at a P/E of 61.5x and a P/B of 10.2x, with a dividend yield of 0.0%. Multiples are most useful compared against the company's own history and its sector peers — see the peer comparison for context.

How we got this fair value

Every number below is part of the same estimate for GNG Electronics Limited. Nothing here is a target price or a forecast of where the share price will go.

Medium confidence66/100

Workable, with real gaps. Weigh it alongside your own view rather than on its own.

Estimate range ₹389 – ₹476

Why this method for this business

The business is asset-light and earns through recurring revenue, making relative P/E and EV/EBITDA the most relevant models. DCF is less suitable due to the lack of clear cash flow patterns and the company's cyclical exposure.

The models behind the number

Each method is weighted by how well its inputs held up for this company.

Fair multiple (P/E)
₹43370% weight
EV / EBITDA(not enough data)

required inputs missing

  • dcf: lacks clear cash flow patterns and is less suitable for an asset-light business with cyclical exposure

What was missing

  • Lack of historical P/E data for the company
  • Limited analyst coverage for EV/EBITDA normalization

What drives it

14 inputs, grouped by how strong each claim is
ReportedRead from filings or market data. Verifiable, not our opinion.
Sector-median P/E
26.1×

peer-median

Peers used
3

peer-median

EPS (TTM)
12.49 ₹/share

computed

JudgementOur read of the evidence, not a measurement.
Term: quality
-1.8%

quality 52/100 (about average) → neutral

Term: growth
+40.0%

durable ~60% CAGR (ROCE 20% > hurdle) → premium

Term: capital_allocation
-6.0%

capital allocation: falling ROCE / weak cash generation → discount

Term: financial_strength
+1.4%

financial strength: moderate leverage (D/E 0.3) → neutral

Term: history
+0.0%

history: no reliable own-history P/E → not used

Term: sector_rerating
+0.0%

sector re-rating: no sector-norm history → not used

Term: rate_regime
+1.2%

rates: risk-free 6.9% below ~7.1% normal → higher multiple

Term: risk
+0.0%

risk: no analyst-dispersion signal available → neutral (lowers confidence, not PE)

DerivedFalls out of the inputs above: a model output, not an independent input.
Premium vs sector
+32.7%

fundamentals + macro (not capped at own history)

Fair-multiple confidence
49%

data completeness + term agreement

Fair P/E
34.64×

sector median × ∏(1+term) — Dynamic Fair Multiple

Who computed this

A language model (qwen3:8b) selects the valuation method and the judgement inputs for GNG Electronics 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 methodology

Understand the ratios

More on GNG Electronics Limited

DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.