SBI FUNDS MANAGEMENT LTD DCF Valuation
SBIFUNDS · Financial Services · Current price ₹472
SBI FUNDS MANAGEMENT LTD cash-flow valuation
Our engine did not use a discounted-cash-flow model for SBI FUNDS MANAGEMENT LTD. It routes each business to the methods that suit it, and a DCF is a poor lens where cash-flow forecasts are fragile or the business is capital-structure driven. The methods it did use, and why, are set out below. Our published estimate is ₹1,808.
Try your own assumptions
Prefer to build the discounted cash flow yourself? The DCF calculator below opens pre-filled with SBI FUNDS MANAGEMENT LTD's reported free cash flow, net debt and share count, so you can set your own growth and discount rate.
How we got this fair value
Every number below is part of the same estimate for SBI FUNDS MANAGEMENT LTD. Nothing here is a target price or a forecast of where the share price will go.
Workable, with real gaps. Weigh it alongside your own view rather than on its own.
Estimate range ₹1,627 – ₹1,989
Why this method for this business
SBI Funds Management is an asset-light, compounder AMC with a durable moat and strong earnings power. A relative P/E multiple is the most appropriate method to value its earnings-driven business.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
- dcf: DCF is not suitable for an AMC with stable, predictable earnings and no significant capital expenditures. The deterministic baseline's DCF model was excluded due to missing inputs and the nature of the business.
What was missing
- Lack of historical P/E data for the company
- Limited analyst coverage for the company
What drives it
14 inputs, grouped by how strong each claim is
- Sector-median P/E
- 50.36×
- Peers used
- 3
- EPS (TTM)
- 24.11 ₹/share
peer-median
peer-median
computed
- Term: quality
- +17.2%
- Term: growth
- +40.0%
- Term: capital_allocation
- +5.4%
- Term: financial_strength
- +10.0%
- Term: history
- +0.0%
- Term: sector_rerating
- +0.0%
- Term: rate_regime
- +1.2%
- Term: risk
- +0.0%
quality 89/100 (high, stable returns) → premium
durable ~27% CAGR (ROCE 47% > hurdle) → premium
capital allocation: rising ROCE funded by strong FCF → premium
financial strength: effectively debt-free → premium
history: no reliable own-history P/E → not used
sector re-rating: no sector-norm history → not used
rates: risk-free 6.9% below ~7.1% normal → higher multiple
risk: no analyst-dispersion signal available → neutral (lowers confidence, not PE)
- Premium vs sector
- +48.9%
- Fair-multiple confidence
- 56%
- Fair P/E
- 75×
fundamentals + macro (not capped at own history)
data completeness + term agreement
sector median × ∏(1+term) — Dynamic Fair Multiple
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for SBI FUNDS MANAGEMENT LTD: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on SBI FUNDS MANAGEMENT LTD
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.