TATA ELXSI LIMITED Fair Value

TATAELXSI · Information Technology · Current price ₹3,591

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DocStoX fair value
₹1,672
low confidence
Current price
₹3,591
Upside to fair value
-53.4%
Verdict
Avoid
Quality score
4.8 / 10
Valuation methods
MethodFair valueStatus
Residual income₹77121% ROE fading to 12% over ~20 yrs, on ₹488 book
Relative P/E₹2,321EPS × 23.0 peer-median P/E
Graham floor₹1,053Conservative floor: √(22.5 × EPS × book value/share)
Analyst target₹3,597Street consensus 12-month target price
Model it yourself — Margin of Safety Calculator
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Is TATA ELXSI LIMITED undervalued?

DocStoX estimates the fair value of TATA ELXSI LIMITED at ₹1,672 per share, versus the current market price of ₹3,591. That puts the stock about -53.4% 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 (₹771), Relative P/E (₹2,321), Graham floor (₹1,053), Analyst target (₹3,597). 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 ₹771 (bear) to ₹1,672 (base) to ₹3,597 (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 TATA ELXSI LIMITED

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.