INDO FARM EQUIPMENT LTD Valuation

INDOFARM · Automobiles · Current price ₹158.62

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DocStoX fair value
₹106
high confidence
Current price
₹159
Upside
-33.4%
P/E ratio
30.9x
P/B ratio
1.3x
Verdict
Avoid
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Is INDO FARM EQUIPMENT LTD undervalued?

DocStoX estimates the fair value of INDO FARM EQUIPMENT LTD at ₹106 per share, versus the current market price of ₹159. That puts the stock about -33.4% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is high.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹104), Relative P/E (₹100), Graham floor (₹116). 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 ₹90 (bear) to ₹106 (base) to ₹122 (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

INDO FARM EQUIPMENT LTD trades at a P/E of 30.9x and a P/B of 1.3x, with a dividend yield of 0.0%. 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 INDO FARM EQUIPMENT 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.