INDO RAMA SYNTHETICS LTD Valuation

INDORAMA · Textiles · Current price ₹50.07

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DocStoX fair value
₹81
low confidence
Current price
₹50
Upside
+60.8%
P/E ratio
8.7x
P/B ratio
2.3x
Verdict
Buy
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Is INDO RAMA SYNTHETICS LTD undervalued?

DocStoX estimates the fair value of INDO RAMA SYNTHETICS LTD at ₹81 per share, versus the current market price of ₹50. That puts the stock about +60.8% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹25), Relative P/E (₹208), Graham floor (₹51). 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 ₹25 (bear) to ₹81 (base) to ₹208 (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 RAMA SYNTHETICS LTD trades at a P/E of 8.7x and a P/B of 2.3x, 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 RAMA SYNTHETICS 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.