Raama Finance Ltd Intrinsic Value

RLFL · Financial Services · Current price ₹18.17

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DocStoX fair value
₹3
low confidence
Current price
₹18
Upside to fair value
-83.5%
Verdict
Avoid
Quality score
3.0 / 10
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Is Raama Finance Ltd undervalued?

DocStoX estimates the fair value of Raama Finance Ltd at ₹3 per share, versus the current market price of ₹18. That puts the stock about -83.5% 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 1 independent method: Excess-return (book value) (₹3). 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 ₹3 (bear) to ₹3 (base) to ₹3 (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 ₹18 versus an intrinsic value of ₹3, Raama Finance Ltd currently offers -83.5% of negative margin (i.e. a premium).

More on Raama Finance 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.