MOTHERSON SUMI WRNG IND L Fair Value
MSUMI · Automobile and Auto Components · Current price ₹36.54
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹5 | 29% ROE fading to 13% over ~10 yrs, on ₹3 book |
| Relative P/E | ₹41 | EPS × 44.1 peer-median P/E |
| Graham floor | ₹8 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | ₹48 | Street consensus 12-month target price |
Is MOTHERSON SUMI WRNG IND L undervalued?
DocStoX estimates the fair value of MOTHERSON SUMI WRNG IND L at ₹20 per share, versus the current market price of ₹37. That puts the stock about -44.0% 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 (₹5), Relative P/E (₹41), Graham floor (₹8), Analyst target (₹48). 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 ₹5 (bear) to ₹20 (base) to ₹48 (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 MOTHERSON SUMI WRNG IND L
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.