NTPC LTD Fair Value
NTPC · Power · Current price ₹326.8
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹207 | 14% ROE fading to 15% over ~3 yrs, on ₹210 book |
| Relative P/E | ₹895 | EPS × 32.1 peer-median P/E |
| Graham floor | ₹363 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | ₹434 | Street consensus 12-month target price |
Is NTPC LTD undervalued?
DocStoX estimates the fair value of NTPC LTD at ₹422 per share, versus the current market price of ₹327. That puts the stock about +29.1% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is low.
How this fair value is calculated
This estimate blends 4 independent methods: Residual income (₹207), Relative P/E (₹895), Graham floor (₹363), Analyst target (₹434). 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 ₹207 (bear) to ₹422 (base) to ₹895 (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 NTPC 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.