PURPLE UNITED SALES LTD Fair Value

PURPLEUTED · Textiles · Current price ₹409.4

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DocStoX fair value
₹240
low confidence
Current price
₹409
Upside to fair value
-41.3%
Verdict
Avoid
Quality score
5.5 / 10
Valuation methods
MethodFair valueStatus
Residual income₹9117% ROE fading to 14% over ~10 yrs, on ₹79 book
Relative P/E₹580EPS × 36.7 peer-median P/E
Graham floor₹167Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with PURPLE UNITED SALES LTD's latest numbers.

Is PURPLE UNITED SALES LTD undervalued?

DocStoX estimates the fair value of PURPLE UNITED SALES LTD at ₹240 per share, versus the current market price of ₹409. That puts the stock about -41.3% 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 (₹91), Relative P/E (₹580), Graham floor (₹167). 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 ₹91 (bear) to ₹240 (base) to ₹580 (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 PURPLE UNITED SALES 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.