VARDHMAN SPC STEEL LTD Fair Value

VSSL · Industrial Products · Current price ₹298.35

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DocStoX fair value
₹173
low confidence
Current price
₹298
Upside to fair value
-42.0%
Verdict
Avoid
Quality score
3.3 / 10
Valuation methods
MethodFair valueStatus
Residual income₹13112% ROE fading to 13% over ~3 yrs, on ₹132 book
Relative P/E₹247EPS × 21.7 peer-median P/E
Graham floor₹184Conservative floor: √(22.5 × EPS × book value/share)
Analyst targetNo analyst coverage
Model it yourself — Margin of Safety Calculator
Opens pre-filled with VARDHMAN SPC STEEL LTD's latest numbers.

Is VARDHMAN SPC STEEL LTD undervalued?

DocStoX estimates the fair value of VARDHMAN SPC STEEL LTD at ₹173 per share, versus the current market price of ₹298. That puts the stock about -42.0% 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 (₹131), Relative P/E (₹247), Graham floor (₹184). 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 ₹131 (bear) to ₹173 (base) to ₹247 (bull). A margin of safety means buying meaningfully below the base case — the wider the gap, the more room for error in the assumptions.

More on VARDHMAN SPC STEEL 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.