HINDUSTAN ZINC LIMITED Fair Value
HINDZINC · Metals & Mining · Current price ₹595.5
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹236 | 61% ROE fading to 14% over ~10 yrs, on ₹53 book |
| Relative P/E | ₹1,067 | EPS × 32.9 peer-median P/E |
| Graham floor | ₹197 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | ₹633 | Street consensus 12-month target price |
Is HINDUSTAN ZINC LIMITED undervalued?
DocStoX estimates the fair value of HINDUSTAN ZINC LIMITED at ₹473 per share, versus the current market price of ₹596. That puts the stock about -20.6% above our fair-value estimate, which we read as "Expensive". Our confidence in this estimate is low.
How this fair value is calculated
This estimate blends 4 independent methods: Residual income (₹236), Relative P/E (₹1,067), Graham floor (₹197), Analyst target (₹633). 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 ₹197 (bear) to ₹473 (base) to ₹1,067 (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 ZINC LIMITED
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.