KENNAMETAL INDIA LIMITED Fair Value

KENNAMET · Capital Goods · Current price ₹4,550

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DocStoX fair value
₹1,692
low confidence
Current price
₹4,550
Upside to fair value
-62.8%
Verdict
Avoid
Quality score
6.3 / 10
Valuation methods
MethodFair valueStatus
Residual income₹62925% ROE fading to 12% over ~10 yrs, on ₹388 book
Relative P/E₹3,131EPS × 35.1 peer-median P/E
Graham floor₹882Conservative floor: √(22.5 × EPS × book value/share)
Analyst target₹3,153Street consensus 12-month target price
Model it yourself — Margin of Safety Calculator
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Is KENNAMETAL INDIA LIMITED undervalued?

DocStoX estimates the fair value of KENNAMETAL INDIA LIMITED at ₹1,692 per share, versus the current market price of ₹4,550. That puts the stock about -62.8% 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 4 independent methods: Residual income (₹629), Relative P/E (₹3,131), Graham floor (₹882), Analyst target (₹3,153). 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 ₹629 (bear) to ₹1,692 (base) to ₹3,153 (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 KENNAMETAL INDIA LIMITED

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.