PONNIE SUGARS (ERODE) LTD Valuation

PONNIERODE · Fast Moving Consumer Goods · Current price ₹391.5

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DocStoX fair value
₹861
low confidence
Current price
₹392
Upside
+119.9%
P/E ratio
7.0x
P/B ratio
0.6x
Verdict
Buy
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Is PONNIE SUGARS (ERODE) LTD undervalued?

DocStoX estimates the fair value of PONNIE SUGARS (ERODE) LTD at ₹861 per share, versus the current market price of ₹392. That puts the stock about +119.9% 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 3 independent methods: Residual income (₹627), Relative P/E (₹1,283), Graham floor (₹912). 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 ₹627 (bear) to ₹861 (base) to ₹1,283 (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

PONNIE SUGARS (ERODE) LTD trades at a P/E of 7.0x and a P/B of 0.6x, with a dividend yield of 1.3%. 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 PONNIE SUGARS (ERODE) 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.