SHRIRAM FINANCE LIMITED Fair Value
SHRIRAMFIN · Financial Services · Current price ₹1,037.5
| Method | Fair value | Status |
|---|---|---|
| Excess-return (book value) | ₹368 | 16% ROE fading to 13% over ~3 yrs, on ₹350 book |
| Relative P/E | ₹1,614 | EPS × 30.3 peer-median P/E |
| Graham floor | — | Not meaningful for financials |
| Analyst target | ₹1,203 | Street consensus 12-month target price |
Is SHRIRAM FINANCE LIMITED undervalued?
DocStoX estimates the fair value of SHRIRAM FINANCE LIMITED at ₹794 per share, versus the current market price of ₹1,038. That puts the stock about -23.4% above our fair-value estimate, which we read as "Expensive". Our confidence in this estimate is low.
How this fair value is calculated
This estimate blends 3 independent methods: Excess-return (book value) (₹368), Relative P/E (₹1,614), Analyst target (₹1,203). 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 ₹368 (bear) to ₹794 (base) to ₹1,614 (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 SHRIRAM FINANCE 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.