Gautam Gems Ltd Valuation

GGL · Consumer Goods · Current price ₹3.09

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DocStoX fair value
₹7
low confidence
Current price
₹3
Upside
+139.7%
P/E ratio
44.1x
P/B ratio
0.3x
Verdict
Expensive
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Is Gautam Gems Ltd undervalued?

DocStoX estimates the fair value of Gautam Gems Ltd at ₹7 per share, versus the current market price of ₹3. That puts the stock about +139.7% below our fair-value estimate, which we read as "Expensive". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹10), Relative P/E (₹3), Graham floor (₹6). 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 ₹3 (bear) to ₹7 (base) to ₹10 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Valuation multiples

Gautam Gems Ltd trades at a P/E of 44.1x and a P/B of 0.3x, 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.

Understand the ratios

More on Gautam Gems 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.