Gita Renewable Energy Ltd Intrinsic Value

GITARENEW · Utilities · Current price ₹73.9

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DocStoX fair value
₹26
high confidence
Current price
₹74
Upside to fair value
-64.8%
Verdict
Avoid
Quality score
3.1 / 10
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Is Gita Renewable Energy Ltd undervalued?

DocStoX estimates the fair value of Gita Renewable Energy Ltd at ₹26 per share, versus the current market price of ₹74. That puts the stock about -64.8% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is high.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹25), Relative P/E (₹29), Graham floor (₹25). 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 ₹22 (bear) to ₹26 (base) to ₹30 (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 ₹74 versus an intrinsic value of ₹26, Gita Renewable Energy Ltd currently offers -64.8% of negative margin (i.e. a premium).

More on Gita Renewable Energy 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.