Voltas Limited DCF Valuation
VOLTAS · Consumer Durables · Current price ₹1,029.1
Voltas Limited cash-flow valuation
Our engine did not use a discounted-cash-flow model for Voltas Limited. It routes each business to the methods that suit it, and a DCF is a poor lens where cash-flow forecasts are fragile or the business is capital-structure driven. The methods it did use, and why, are set out below. Our published estimate is ₹586.
Try your own assumptions
Prefer to build the discounted cash flow yourself? The DCF calculator below opens pre-filled with Voltas Limited's reported free cash flow, net debt and share count, so you can set your own growth and discount rate.
How we got this fair value
Every number below is part of the same estimate for Voltas Limited. Nothing here is a target price or a forecast of where the share price will go.
Workable, with real gaps. Weigh it alongside your own view rather than on its own.
Estimate range ₹410 – ₹644
Why this method for this business
Voltas is an asset-light compounder in the consumer durables space, where earnings power and a durable moat are key. Relative P/E and PEG are the most appropriate models for valuing such a business.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
- dcf: Not suitable for an asset-light business with volatile earnings
- peg: Used as a secondary model to validate the P/E multiple
What was missing
- Limited forward analyst estimates for certain periods
- Insufficient data on long-term growth assumptions
What drives it
17 inputs, grouped by how strong each claim is
- Sector-median P/E
- 50.16×
- Peers used
- 6
- EPS (TTM)
- 13.58 ₹/share
- Own-history median P/E
- 72.45×
- Earnings growth
- 39.6% CAGR
peer-median
peer-median
computed
reconstructed (one feature, dampened — not a cap)
computed
- Term: quality
- -4.9%
- Term: growth
- -11.7%
- Term: capital_allocation
- -8.5%
- Term: financial_strength
- +6.6%
- Term: history
- +13.3%
- Term: sector_rerating
- +0.0%
- Term: rate_regime
- +1.2%
- Term: risk
- +0.0%
quality 45/100 (weak/erratic returns) → discount
weak ~3% CAGR (ROCE 17% > hurdle) → discount
capital allocation: falling ROCE / weak cash generation → discount
financial strength: low leverage (D/E 0.1) → mild premium
history: market paid +44% vs sector, dampened ×0.3 (one feature, not the anchor)
sector re-rating: no sector-norm history → not used
rates: risk-free 6.9% below ~7.1% normal → higher multiple
risk: no analyst-dispersion signal available → neutral (lowers confidence, not PE)
- Premium vs sector
- -6.0%
- Fair-multiple confidence
- 68%
- Fair P/E
- 47.14×
- Growth-implied P/E
- 30×
fundamentals + macro (not capped at own history)
data completeness + term agreement
sector median × ∏(1+term) — Dynamic Fair Multiple
min(growth, 30)
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Voltas Limited: which models suit the business, the moat, the growth and margin assumptions. It does not produce the number. The fair value itself is computed in Python by a deterministic engine (version 2026.08.1) from those inputs, so the same inputs always give the same result and every figure above can be traced to a source.
Estimated 14 Sept 2026. Re-run as new financials and news arrive.
How we value stocks
We estimate what a business is worth from its own economics: cash flows, returns on capital, and a multiple justified by its quality, rather than from where the share price has been. A fair value estimate is a view, not a verdict, and it is only as good as the inputs listed above.
Read the full fair-value methodologyMore on Voltas Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.