TATA CHEMICALS LTD Valuation

TATACHEM · Chemicals · Current price ₹633.85

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DocStoX fair value
₹704
medium confidence
Current price
₹634
Upside
+11.1%
P/E ratio
29.0x
P/B ratio
0.8x
Verdict
Expensive
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Is TATA CHEMICALS LTD undervalued?

DocStoX estimates the fair value of TATA CHEMICALS LTD at ₹704 per share, versus the current market price of ₹634. That puts the stock about +11.1% below our fair-value estimate, which we read as "Expensive". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 2 independent methods: Residual income (₹716), Analyst target (₹674). 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 ₹599 (bear) to ₹704 (base) to ₹810 (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

TATA CHEMICALS LTD trades at a P/E of 29.0x and a P/B of 0.8x, with a dividend yield of 1.7%. 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 TATA CHEMICALS 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.