TORRENT POWER LTD Intrinsic Value

TORNTPOWER · Power · Current price ₹1,390.5

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DocStoX fair value
₹736
low confidence
Current price
₹1,391
Upside to fair value
-47.1%
Verdict
Avoid
Quality score
3.6 / 10
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Is TORRENT POWER LTD undervalued?

DocStoX estimates the fair value of TORRENT POWER LTD at ₹736 per share, versus the current market price of ₹1,391. That puts the stock about -47.1% 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 (₹378), Relative P/E (₹1,539), Graham floor (₹639). 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 ₹378 (bear) to ₹736 (base) to ₹1,539 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

Margin of safety

Value investors demand a margin of safety — a discount to intrinsic value that protects against being wrong. At ₹1,391 versus an intrinsic value of ₹736, TORRENT POWER LTD currently offers -47.1% of negative margin (i.e. a premium).

More on TORRENT POWER 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.