HINDUSTAN COMPOSITES LTD. Fair Value

HINDCOMPOS · Automobile and Auto Components · Current price ₹400.5

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DocStoX fair value
₹715
medium confidence
Current price
₹401
Upside to fair value
+78.5%
Verdict
Buy
Quality score
3.8 / 10
Valuation methods
MethodFair valueStatus
Residual income₹6813% ROE fading to 13% over ~3 yrs, on ₹775 book
Relative P/E₹879EPS × 41.7 peer-median P/E
Graham floor₹606Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with HINDUSTAN COMPOSITES LTD.'s latest numbers.

Is HINDUSTAN COMPOSITES LTD. undervalued?

DocStoX estimates the fair value of HINDUSTAN COMPOSITES LTD. at ₹715 per share, versus the current market price of ₹401. That puts the stock about +78.5% 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 3 independent methods: Residual income (₹681), Relative P/E (₹879), Graham floor (₹606). 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 ₹606 (bear) to ₹715 (base) to ₹879 (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 HINDUSTAN COMPOSITES 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.