Wheels India Limited Fair Value
WHEELS · Automobile and Auto Components · Current price ₹2,435
Is Wheels India Limited undervalued?
We estimate the fair value of Wheels India Limited at ₹1,858 per share, against a market price of ₹2,230. That puts the share price about -16.7% above our estimate, at medium confidence. This is our view of what the business is worth, not a target price or a forecast of where the share price will go.
How this fair value is calculated
This estimate comes from 1 method: Normalized earnings (mid-cycle EV/EBITDA) (₹1,858). Each is weighted by how well its inputs held up for this company. The full working, including the assumptions and what data was missing, is set out below.
The range around this estimate
Our estimate for Wheels India Limited spans ₹1,673 to ₹2,044. A margin of safety means buying meaningfully below the estimate: the wider the range, the more room the assumptions leave for error.
How we got this fair value
Every number below is part of the same estimate for Wheels India 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 ₹1,673 – ₹2,044
Why this method for this business
Normalized earnings and EV/EBITDA are appropriate for a cyclical auto components business with mid-cycle earnings and a through-cycle EV/EBITDA multiple.
The models behind the number
Each method is weighted by how well its inputs held up for this company.
Cyclical valued off mid-cycle earnings and a through-cycle EV/EBITDA (§6.6)
required inputs missing
- DCF is not suitable for a cyclical business with erratic earnings
- Book value is not relevant for an asset-light, earnings-driven business
What was missing
- Forward estimates are not available
- No analyst-dispersion signal available
What drives it
7 inputs, grouped by how strong each claim is
- Revenue (TTM)
- 5,465 ₹ cr
- Net debt
- 766.5 ₹ cr
- Shares outstanding
- 2,45,10,668
computed
computed
computed
- EBITDA margin (cycle median)
- 6%
- Through-cycle EV/EBITDA
- 16.23×
computed (≤5y median)
own-history (median of 5y)
- Mid-cycle EBITDA
- 327.9 ₹ cr
- Enterprise value
- 5,321.7 ₹ cr
computed
computed
Who computed this
A language model (qwen3:8b) selects the valuation method and the judgement inputs for Wheels India 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 Wheels India Limited
DocStoX estimates are computed from reported financials, for informational purposes only, not investment advice. Consult a SEBI-registered advisor before investing.