LARSEN & TOUBRO LTD. Intrinsic Value
LT · Construction · Current price ₹3,814.5
Is LARSEN & TOUBRO LTD. undervalued?
DocStoX estimates the fair value of LARSEN & TOUBRO LTD. at ₹1,689 per share, versus the current market price of ₹3,815. That puts the stock about -55.7% 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 (₹813), Relative P/E (₹3,578), Graham floor (₹1,445). 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 ₹813 (bear) to ₹1,689 (base) to ₹3,578 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.
Margin of safety
Value investors demand a margin of safety — a discount to intrinsic value that protects against being wrong. At ₹3,815 versus an intrinsic value of ₹1,689, LARSEN & TOUBRO LTD. currently offers -55.7% of negative margin (i.e. a premium).
More on LARSEN & TOUBRO 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.