ITC LTD DCF Valuation

ITC · Fast Moving Consumer Goods · Current price ₹280.7

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DocStoX fair value
₹169
low confidence
Intrinsic-value estimate
₹95
29% ROE fading to 12% over ~10 yrs, on ₹58 book
Current price
₹281
Economic moat
Narrow
Medium uncertainty
5Y profit growth
+9.4%
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ITC LTD intrinsic-value estimate

Our intrinsic-value model estimates ITC LTD is worth ₹95 per share, based on 29% ROE fading to 12% over ~10 yrs, on ₹58 book. Rather than a raw DCF — which is highly sensitive to fragile cash-flow forecasts — we use a residual-income (excess-return) model: a company is worth its book value plus the present value of the returns it earns ABOVE its cost of equity. A narrow economic moat sets how long that edge is assumed to last.

Try your own assumptions

Prefer a classic discounted-cash-flow view? Open the DCF calculator below — it pre-fills ITC LTD's real free cash flow, net debt and share count so you can model your own growth and discount-rate scenario in seconds.

More on ITC 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.