SRF LTD Valuation

SRF · Chemicals · Current price ₹2,627.8

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DocStoX fair value
₹1,464
low confidence
Current price
₹2,628
Upside
-44.3%
P/E ratio
42.5x
P/B ratio
5.9x
Verdict
Avoid
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Is SRF LTD undervalued?

DocStoX estimates the fair value of SRF LTD at ₹1,464 per share, versus the current market price of ₹2,628. That puts the stock about -44.3% 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 4 independent methods: Residual income (₹512), Relative P/E (₹2,799), Graham floor (₹813), Analyst target (₹2,938). 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 ₹512 (bear) to ₹1,464 (base) to ₹2,938 (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

SRF LTD trades at a P/E of 42.5x and a P/B of 5.9x, with a dividend yield of 0.2%. 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 SRF 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.