SUN PHARMACEUTICAL IND L Fair Value
SUNPHARMA · Healthcare · Current price ₹1,927.2
| Method | Fair value | Status |
|---|---|---|
| Residual income | ₹363 | 16% ROE fading to 13% over ~3 yrs, on ₹348 book |
| Relative P/E | ₹1,871 | EPS × 39.1 peer-median P/E |
| Graham floor | ₹612 | Conservative floor: √(22.5 × EPS × book value/share) |
| Analyst target | ₹2,154 | Street consensus 12-month target price |
Is SUN PHARMACEUTICAL IND L undervalued?
DocStoX estimates the fair value of SUN PHARMACEUTICAL IND L at ₹1,064 per share, versus the current market price of ₹1,927. That puts the stock about -44.8% 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 (₹363), Relative P/E (₹1,871), Graham floor (₹612), Analyst target (₹2,154). 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 ₹363 (bear) to ₹1,064 (base) to ₹2,154 (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 SUN PHARMACEUTICAL IND L
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.