Eicher Fair Value
50
The fair market value of 505200.BO stock is 4970.52 INR. Relative to the market price of 4846.85 INR Eicher Motors is undervalued by 2.6%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Eicher Valuation
Current 505200.BO share ticker price is 4846.85 INR.
The fair value level of 4970.52 INR can be considered as an effective entry point for long-term investors to start investing in 505200.BO stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 3% lower its fair value
Current price is 30% higher its minimum value
Current price is 60% lower its maximum value
Market price:
505200.BO stock is undervalued
It means the current price may concern as a Moderate Risk Entry Point
Eicher Motors Ltd Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
52.85
2
Median P/E over 5 years
33.87
3
Minimum P/E over 5 years
23.06
4
Earning per share (last 12 months)
146.73 INR
Maximum value
1
x
4
=
7 754.47 INR
Fair value
2
x
4
=
4 970.52 INR
Minimum value
3
x
4
=
3 383.76 INR
Eicher Motors Ltd price metrics
23.9
Annual return (geometric mean)
32.1
Risk (standard deviation) of returns
β
0.8
Beta (volatility compared to market)