KARNIKA INDUSTRIES LTD Fair Value

KARNIKA · Textiles · Current price ₹117.8

Full stock page
DocStoX fair value
₹61
low confidence
Current price
₹118
Upside to fair value
-48.4%
Verdict
Avoid
Quality score
4.9 / 10
Valuation methods
MethodFair valueStatus
Residual income₹2725% ROE fading to 13% over ~10 yrs, on ₹16 book
Relative P/E₹140EPS × 31.0 peer-median P/E
Graham floor₹40Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with KARNIKA INDUSTRIES LTD's latest numbers.

Is KARNIKA INDUSTRIES LTD undervalued?

DocStoX estimates the fair value of KARNIKA INDUSTRIES LTD at ₹61 per share, versus the current market price of ₹118. That puts the stock about -48.4% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹27), Relative P/E (₹140), Graham floor (₹40). 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 ₹27 (bear) to ₹61 (base) to ₹140 (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 KARNIKA INDUSTRIES 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.