GUJARAT ENERGY LIMITED Valuation

GUJENERGY · Oil, Gas & Consumable Fuels · Current price ₹260.65

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DocStoX fair value
₹319
medium confidence
Current price
₹261
Upside
+22.5%
P/E ratio
10.7x
P/B ratio
1.1x
Verdict
Buy
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Is GUJARAT ENERGY LIMITED undervalued?

DocStoX estimates the fair value of GUJARAT ENERGY LIMITED at ₹319 per share, versus the current market price of ₹261. That puts the stock about +22.5% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 4 independent methods: Residual income (₹270), Relative P/E (₹325), Graham floor (₹383), Analyst target (₹366). 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 ₹270 (bear) to ₹319 (base) to ₹383 (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

GUJARAT ENERGY LIMITED trades at a P/E of 10.7x and a P/B of 1.1x, 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

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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.