MUTHOOT FINANCE LIMITED Valuation

MUTHOOTFIN · Financial Services · Current price ₹2,899.7

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DocStoX fair value
₹4,835
low confidence
Current price
₹2,900
Upside
+66.8%
P/E ratio
11.0x
P/B ratio
3.0x
Verdict
Strong Buy
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Is MUTHOOT FINANCE LIMITED undervalued?

DocStoX estimates the fair value of MUTHOOT FINANCE LIMITED at ₹4,835 per share, versus the current market price of ₹2,900. That puts the stock about +66.8% below our fair-value estimate, which we read as "Strong Buy". Our confidence in this estimate is low.

How this fair value is calculated

This estimate blends 3 independent methods: Excess-return (book value) (₹4,072), Relative P/E (₹7,993), Analyst target (₹3,393). 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 ₹3,393 (bear) to ₹4,835 (base) to ₹7,993 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Valuation multiples

MUTHOOT FINANCE LIMITED trades at a P/E of 11.0x and a P/B of 3.0x, with a dividend yield of 1.0%. Multiples are most useful compared against the company's own history and its sector peers — see the peer comparison for context.

Understand the ratios

More on MUTHOOT FINANCE 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.