INDIAN OVERSEAS BANK Fair Value

IOB · Financial Services · Current price ₹33.85

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DocStoX fair value
₹19
medium confidence
Current price
₹34
Upside to fair value
-43.1%
Verdict
Avoid
Quality score
3.7 / 10
Valuation methods
MethodFair valueStatus
Excess-return (book value)₹1915% ROE fading to 13% over ~10 yrs, on ₹17 book
Relative P/E₹20EPS × 11.7 peer-median P/E
Graham floorNot meaningful for financials
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
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Is INDIAN OVERSEAS BANK undervalued?

DocStoX estimates the fair value of INDIAN OVERSEAS BANK at ₹19 per share, versus the current market price of ₹34. That puts the stock about -43.1% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 2 independent methods: Excess-return (book value) (₹19), Relative P/E (₹20). 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 ₹16 (bear) to ₹19 (base) to ₹22 (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 INDIAN OVERSEAS BANK

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.