Jaiprakash Power Ventures Limited Intrinsic Value
JPPOWER · Power · Current price ₹14.85
Is Jaiprakash Power Ventures Limited undervalued?
We estimate the fair value of Jaiprakash Power Ventures Limited at ₹31 per share, against a market price of ₹16. That puts the share price about +93.5% below our estimate, at medium confidence. This is our view of what the business is worth, not a target price or a forecast of where the share price will go.
How this fair value is calculated
This estimate comes from 1 method: Discounted cash flow (2-stage) (₹31). Each is weighted by how well its inputs held up for this company. The full working, including the assumptions and what data was missing, is set out below.
The range around this estimate
Our estimate for Jaiprakash Power Ventures Limited spans ₹28 to ₹34. A margin of safety means buying meaningfully below the estimate: the wider the range, the more room the assumptions leave for error.
Margin of safety
Value investors look for a margin of safety: a discount to estimated value that absorbs being wrong. At ₹16 against an estimated value of ₹31, Jaiprakash Power Ventures Limited trades at +93.5%, i.e. a discount to our estimate. How much margin to demand depends on how much you trust the inputs, which is what the confidence band below is for.
How we got this fair value
Every number below is part of the same estimate for Jaiprakash Power Ventures Limited. Nothing here is a target price or a forecast of where the share price will go.
Workable, with real gaps. Weigh it alongside your own view rather than on its own.
Estimate range ₹28 – ₹34
Why this method for this business
The DCF model is appropriate for a power generation company with stable cash flows, while EV/EBITDA captures the capital intensity and debt structure of the business.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
Intrinsic value from 2-stage discounted cash flows (primary for asset-light / normal businesses); FCFE path
required inputs missing
- Normalized EPS is not reliable due to erratic earnings
- Forward estimates are unavailable for DCF
What was missing
- Forward estimates are unavailable
- Detailed capital allocation data
- Long-term regulatory risk assessment
What drives it
12 inputs, grouped by how strong each claim is
- FCF_0 (normalized)
- 1,293 ₹cr
- Net debt
- 3,391 ₹cr
fcf_norm (median ≤5y positive)
gross debt (cash n/a)
- Discount rate (r)
- 12.9%
- Beta
- 0.8
COE (building-block)
bottom-up industry
- Stage-1 start growth
- 9.92%
- Fade shape
- linear
- Terminal growth (g)
- 5.33%
- Stage-1 years
- 9 y
pat_cagr_5y
lifecycle Mature
macro terminal × quality premium
lifecycle Mature horizon
- Lifecycle stage
- Mature
- Quality premium
- 1.067×
forecast engine (L20)
moat Narrow + capital allocation
- Path
- FCFE
- Terminal-value fraction
- 0.55
computed (D/E vs 0.8)
PV_TV / (PV_1+PV_TV)
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Jaiprakash Power Ventures Limited: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on Jaiprakash Power Ventures Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.