Sun TV Network Limited DCF Valuation
SUNTV · Media Entertainment & Publication · Current price ₹638
Sun TV Network Limited cash-flow valuation
Our discounted cash flow (2-stage) values Sun TV Network Limited at ₹384 per share. Intrinsic value from 2-stage discounted cash flows (primary for asset-light / normal businesses); FCFE path. It carries 70% of the weight in our published estimate of ₹443. A discounted cash flow is only as good as the cash-flow path it assumes, so the assumptions behind it are listed in full below.
Try your own assumptions
Prefer to build the discounted cash flow yourself? The DCF calculator below opens pre-filled with Sun TV Network Limited's reported free cash flow, net debt and share count, so you can set your own growth and discount rate.
How we got this fair value
Every number below is part of the same estimate for Sun TV Network Limited. Nothing here is a target price or a forecast of where the share price will go.
Workable, with real gaps. Weigh it alongside your own view rather than on its own.
Estimate range ₹384 – ₹594
Why this method for this business
Sun TV Network is an asset-light media company with strong brand equity and a durable moat. DCF and relative PE are the most appropriate models for valuing such a business, as they capture intrinsic value and relative performance against peers.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
Intrinsic value from 2-stage discounted cash flows (primary for asset-light / normal businesses); FCFE path
- residual_income: Not suitable for an asset-light media business where book value is not a strong indicator of intrinsic value
What was missing
- Lack of forward-looking analyst estimates for key financial metrics
- Limited data on the company's content production and distribution costs
- Insufficient information on the impact of regulatory changes on the business model
What drives it
28 inputs, grouped by how strong each claim is
- FCF_0 (normalized)
- 1,242 ₹cr
- Net debt
- 106 ₹cr
- Sector-median P/E
- 26.11×
- Peers used
- 3
- EPS (TTM)
- 38.8 ₹/share
- Own-history median P/E
- 12.15×
fcf_norm (median ≤5y positive)
gross debt (cash n/a)
peer-median
peer-median
computed
reconstructed (one feature, dampened — not a cap)
- Discount rate (r)
- 14.03%
- Beta
- 0.95
COE (building-block)
bottom-up industry
- Stage-1 start growth
- 5.38%
- Fade shape
- linear
- Terminal growth (g)
- 5.38%
- Stage-1 years
- 9 y
pat_cagr_5y
lifecycle Mature
macro terminal × quality premium
lifecycle Mature horizon
- Lifecycle stage
- Mature
- Quality premium
- 1.076×
- Anchor correction
- peer anchor 26.1x diverges 0.5x from 7yr own-history 12.2x (no size-comparable peer) — anchor blended 0.6 toward own-history → 17.7x
- Term: quality
- +1.8%
- Term: growth
- -13.4%
- Term: capital_allocation
- -2.9%
- Term: financial_strength
- +10.0%
- Term: history
- -9.4%
- Term: sector_rerating
- +0.0%
- Term: rate_regime
- +1.2%
- Term: risk
- +0.0%
forecast engine (L20)
moat Narrow + capital allocation
peer-anchor mismatch — deep own-history used instead
quality 62/100 (high, stable returns) → premium (ROCE deteriorating → premium halved)
weak ~3% CAGR (ROCE 29% > hurdle) → discount
capital allocation: falling ROCE / weak cash generation → discount
financial strength: effectively debt-free → premium
history: market paid -31% vs sector, dampened ×0.3 (one feature, not the anchor)
sector re-rating: no sector-norm history → not used
rates: risk-free 6.9% below ~7.1% normal → higher multiple
risk: no analyst-dispersion signal available → neutral (lowers confidence, not PE)
- Path
- FCFE
- Terminal-value fraction
- 0.492
- Premium vs sector
- -13.6%
- Fair-multiple confidence
- 67%
- Fair P/E
- 15.32×
computed (D/E vs 0.8)
PV_TV / (PV_1+PV_TV)
fundamentals + macro (not capped at own history)
data completeness + term agreement
sector median × ∏(1+term) — Dynamic Fair Multiple
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Sun TV Network Limited: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on Sun TV Network Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.