TATA ELXSI LIMITED Valuation

TATAELXSI · Information Technology · Current price ₹3,503.2

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DocStoX fair value
₹1,833
low confidence
Current price
₹3,503
Upside
-47.7%
P/E ratio
27.8x
P/B ratio
7.4x
Verdict
Avoid
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Is TATA ELXSI LIMITED undervalued?

DocStoX estimates the fair value of TATA ELXSI LIMITED at ₹1,833 per share, versus the current market price of ₹3,503. That puts the stock about -47.7% 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 3 independent methods: Residual income (₹1,107), Relative P/E (₹3,648), Graham floor (₹1,177). 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 ₹1,107 (bear) to ₹1,833 (base) to ₹3,648 (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 ELXSI LIMITED trades at a P/E of 27.8x and a P/B of 7.4x, with a dividend yield of 2.1%. 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 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.