Punjab Communications Ltd Fair Value

PUNJCOMMU · Telecommunication · Current price ₹47.92

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DocStoX fair value
₹30
medium confidence
Current price
₹48
Upside to fair value
-36.5%
Verdict
Avoid
Quality score
4.6 / 10
Valuation methods
MethodFair valueStatus
Residual income₹2510% ROE fading to 12% over ~3 yrs, on ₹25 book
Relative P/E₹37EPS × 14.8 peer-median P/E
Graham floor₹38Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with Punjab Communications Ltd's latest numbers.

Is Punjab Communications Ltd undervalued?

DocStoX estimates the fair value of Punjab Communications Ltd at ₹30 per share, versus the current market price of ₹48. That puts the stock about -36.5% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹25), Relative P/E (₹37), Graham floor (₹38). 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 ₹25 (bear) to ₹30 (base) to ₹38 (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 Punjab Communications 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.