TERAI TEA CO. LTD. Valuation

TERAI · Fast Moving Consumer Goods · Current price ₹121.2

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DocStoX fair value
₹244
medium confidence
Current price
₹121
Upside
+101.2%
P/E ratio
22.6x
P/B ratio
0.5x
Verdict
Buy
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Is TERAI TEA CO. LTD. undervalued?

DocStoX estimates the fair value of TERAI TEA CO. LTD. at ₹244 per share, versus the current market price of ₹121. That puts the stock about +101.2% below our fair-value estimate, which we read as "Buy". Our confidence in this estimate is medium.

How this fair value is calculated

This estimate blends 3 independent methods: Residual income (₹212), Relative P/E (₹331), Graham floor (₹202). 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 ₹202 (bear) to ₹244 (base) to ₹331 (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

TERAI TEA CO. LTD. trades at a P/E of 22.6x and a P/B of 0.5x, with a dividend yield of 0.0%. 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 TERAI TEA CO. 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.