LEELA PALACES HOTEL LTD Valuation

THELEELA · Consumer Services · Current price ₹485.65

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DocStoX fair value
₹280
low confidence
Current price
₹486
Upside
-42.4%
P/E ratio
40.2x
P/B ratio
2.5x
Verdict
Avoid
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Is LEELA PALACES HOTEL LTD undervalued?

DocStoX estimates the fair value of LEELA PALACES HOTEL LTD at ₹280 per share, versus the current market price of ₹486. That puts the stock about -42.4% 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 3 independent methods: Residual income (₹184), Relative P/E (₹500), Graham floor (₹228). 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 ₹184 (bear) to ₹280 (base) to ₹500 (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

LEELA PALACES HOTEL LTD trades at a P/E of 40.2x and a P/B of 2.5x, 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 LEELA PALACES HOTEL 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.