RAIN INDUSTRIES LIMITED Intrinsic Value

RAIN · Chemicals · Current price ₹206.83

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DocStoX fair value
₹126
low confidence
Current price
₹207
Upside to fair value
-39.1%
Verdict
Avoid
Quality score
2.7 / 10
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Is RAIN INDUSTRIES LIMITED undervalued?

DocStoX estimates the fair value of RAIN INDUSTRIES LIMITED at ₹126 per share, versus the current market price of ₹207. That puts the stock about -39.1% 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 (₹188), Relative P/E (₹44), Graham floor (₹79). 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 ₹44 (bear) to ₹126 (base) to ₹188 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Margin of safety

Value investors demand a margin of safety — a discount to intrinsic value that protects against being wrong. At ₹207 versus an intrinsic value of ₹126, RAIN INDUSTRIES LIMITED currently offers -39.1% of negative margin (i.e. a premium).

More on RAIN INDUSTRIES 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.