REDTAPE LIMITED Fair Value
REDTAPE · Consumer Durables · Current price ₹122.19
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹42 | 27% ROE fading to 13% over ~20 yrs, on ₹19 book |
| Relative P/E | ₹305 | EPS × 70.2 peer-median P/E |
| Graham floor | ₹43 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | — | No analyst coverage |
Is REDTAPE LIMITED undervalued?
DocStoX estimates the fair value of REDTAPE LIMITED at ₹116 per share, versus the current market price of ₹122. That puts the stock about -5.0% above our fair-value estimate, which we read as "Fairly Valued". Our confidence in this estimate is low.
How this fair value is calculated
This estimate blends 3 independent methods: Residual income (₹42), Relative P/E (₹305), Graham floor (₹43). 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 ₹42 (bear) to ₹116 (base) to ₹305 (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 REDTAPE 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.