SOMA TEXTILES & INDUST LT Valuation

SOMATEX · Textiles · Current price ₹106.29

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DocStoX fair value
₹60
low confidence
Current price
₹106
Upside
-43.3%
P/E ratio
35.8x
P/B ratio
1.8x
Verdict
Avoid
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Is SOMA TEXTILES & INDUST LT undervalued?

DocStoX estimates the fair value of SOMA TEXTILES & INDUST LT at ₹60 per share, versus the current market price of ₹106. That puts the stock about -43.3% 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 (₹45), Relative P/E (₹92), Graham floor (₹58). 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 ₹45 (bear) to ₹60 (base) to ₹92 (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

SOMA TEXTILES & INDUST LT trades at a P/E of 35.8x and a P/B of 1.8x, with a dividend yield of 0.5%. 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 SOMA TEXTILES & INDUST LT

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.