Southern Latex Ltd Intrinsic Value
SOUTLAT · Consumer Discretionary · Current price ₹25.2
Is Southern Latex Ltd undervalued?
DocStoX estimates the fair value of Southern Latex Ltd at ₹9 per share, versus the current market price of ₹25. That puts the stock about -62.7% above our fair-value estimate, which we read as "Avoid". Our confidence in this estimate is high.
How this fair value is calculated
This estimate blends 3 independent methods: Residual income (₹9), Relative P/E (₹11), Graham floor (₹8). 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 ₹8 (bear) to ₹9 (base) to ₹11 (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 ₹25 versus an intrinsic value of ₹9, Southern Latex Ltd currently offers -62.7% of negative margin (i.e. a premium).
More on Southern Latex 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.