R M DRIP & SPRINK SYS LTD Valuation

RMDRIP · Industrial Products · Current price ₹18.94

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DocStoX fair value
₹9
low confidence
Current price
₹19
Upside
-50.5%
P/E ratio
33.8x
P/B ratio
7.3x
Verdict
Avoid
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Is R M DRIP & SPRINK SYS LTD undervalued?

DocStoX estimates the fair value of R M DRIP & SPRINK SYS LTD at ₹9 per share, versus the current market price of ₹19. That puts the stock about -50.5% 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 3 independent methods: Residual income (₹4), Relative P/E (₹22), Graham floor (₹6). 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 ₹4 (bear) to ₹9 (base) to ₹22 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Valuation multiples

R M DRIP & SPRINK SYS LTD trades at a P/E of 33.8x and a P/B of 7.3x, with a dividend yield of 2.6%. Multiples are most useful compared against the company's own history and its sector peers — see the peer comparison for context.

Understand the ratios

More on R M DRIP & SPRINK SYS 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.