NELCO LTD Valuation

NELCO · Information Technology · Current price ₹937.05

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DocStoX fair value
₹25
low confidence
Current price
₹937
Upside
-97.3%
P/E ratio
646.2x
P/B ratio
16.5x
Verdict
Avoid
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Is NELCO LTD undervalued?

DocStoX estimates the fair value of NELCO LTD at ₹25 per share, versus the current market price of ₹937. That puts the stock about -97.3% 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 (₹24), Relative P/E (₹17), Graham floor (₹43). 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 ₹17 (bear) to ₹25 (base) to ₹43 (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

NELCO LTD trades at a P/E of 646.2x and a P/B of 16.5x, with a dividend yield of 0.1%. 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 NELCO 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.