Resourceful Automobile Ltd Fair Value

RAL · Automobiles · Current price ₹41

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DocStoX fair value
₹95
low confidence
Current price
₹41
Upside to fair value
+132.4%
Verdict
Buy
Quality score
4.6 / 10
Valuation methods
MethodFair valueStatus
Residual income₹648% ROE fading to 14% over ~3 yrs, on ₹69 book
Relative P/E₹159EPS × 27.9 peer-median P/E
Graham floor₹94Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with Resourceful Automobile Ltd's latest numbers.

Is Resourceful Automobile Ltd undervalued?

DocStoX estimates the fair value of Resourceful Automobile Ltd at ₹95 per share, versus the current market price of ₹41. That puts the stock about +132.4% 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 (₹64), Relative P/E (₹159), Graham floor (₹94). 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 ₹64 (bear) to ₹95 (base) to ₹159 (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 Resourceful Automobile 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.