LUMAX INDUSTRIES LTD Fair Value
LUMAXIND · Automobile and Auto Components · Current price ₹6,409
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹1,072 | 22% ROE fading to 15% over ~3 yrs, on ₹982 book |
| Relative P/E | ₹7,699 | EPS × 41.7 peer-median P/E |
| Graham floor | ₹2,019 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | ₹7,314 | Street consensus 12-month target price |
Is LUMAX INDUSTRIES LTD undervalued?
DocStoX estimates the fair value of LUMAX INDUSTRIES LTD at ₹3,713 per share, versus the current market price of ₹6,409. That puts the stock about -42.1% 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 (₹1,072), Relative P/E (₹7,699), Graham floor (₹2,019), Analyst target (₹7,314). 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 ₹1,072 (bear) to ₹3,713 (base) to ₹7,699 (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 LUMAX 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.