POLYCAB INDIA LIMITED Fair Value

POLYCAB · Capital Goods · Current price ₹8,862

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DocStoX fair value
₹2,294
low confidence
Current price
₹8,862
Upside to fair value
-74.1%
Verdict
Avoid
Quality score
6.4 / 10
Valuation methods
MethodFair valueStatus
Residual income₹1,24723% ROE fading to 12% over ~10 yrs, on ₹798 book
Relative P/E₹4,672EPS × 26.3 peer-median P/E
Graham floor₹1,785Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
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Is POLYCAB INDIA LIMITED undervalued?

DocStoX estimates the fair value of POLYCAB INDIA LIMITED at ₹2,294 per share, versus the current market price of ₹8,862. That puts the stock about -74.1% 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 3 independent methods: Residual income (₹1,247), Relative P/E (₹4,672), Graham floor (₹1,785). 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 ₹1,247 (bear) to ₹2,294 (base) to ₹4,672 (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 POLYCAB INDIA 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.