HBL ENGINEERING LTD Fair Value

HBLENGINE · Capital Goods · Current price ₹651.85

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DocStoX fair value
₹449
low confidence
Current price
₹652
Upside to fair value
-31.1%
Verdict
Avoid
Quality score
7.6 / 10
Valuation methods
MethodFair valueStatus
Residual income₹12145% ROE fading to 12% over ~3 yrs, on ₹80 book
Relative P/E₹1,227EPS × 41.7 peer-median P/E
Graham floor₹230Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with HBL ENGINEERING LTD's latest numbers.

Is HBL ENGINEERING LTD undervalued?

DocStoX estimates the fair value of HBL ENGINEERING LTD at ₹449 per share, versus the current market price of ₹652. That puts the stock about -31.1% 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 (₹121), Relative P/E (₹1,227), Graham floor (₹230). 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 ₹121 (bear) to ₹449 (base) to ₹1,227 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

More on HBL ENGINEERING 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.