GLAXOSMITHKLINE PHARMA LT Valuation

GLAXO · Healthcare · Current price ₹2,454.8

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DocStoX fair value
₹909
low confidence
Current price
₹2,455
Upside
-63.0%
P/E ratio
40.1x
P/B ratio
18.3x
Verdict
Avoid
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Is GLAXOSMITHKLINE PHARMA LT undervalued?

DocStoX estimates the fair value of GLAXOSMITHKLINE PHARMA LT at ₹909 per share, versus the current market price of ₹2,455. That puts the stock about -63.0% 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 (₹301), Relative P/E (₹2,392), Graham floor (₹429). 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 ₹301 (bear) to ₹909 (base) to ₹2,392 (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

GLAXOSMITHKLINE PHARMA LT trades at a P/E of 40.1x and a P/B of 18.3x, with a dividend yield of 2.3%. 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 GLAXOSMITHKLINE PHARMA LT

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.