Bajaj Fair Value
BA
The fair market value of BAJAJ-AUTO.NS stock is 4830.12 INR. Relative to the market price of 11868 INR Bajaj Auto is overvalued by 59.3%
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
Bajaj Valuation
Current BAJAJ-AUTO.NS share ticker price is 11868 INR.
The fair value level of 4830.12 INR can be considered as an effective entry point for long-term investors to start investing in BAJAJ-AUTO.NS 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 59% higher its fair value
Current price is 62% higher its minimum value
Current price is 50% higher its maximum value
Market price:
BAJAJ-AUTO.NS stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Bajaj Auto 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
21.87
2
Median P/E over 5 years
17.64
3
Minimum P/E over 5 years
16.48
4
Earning per share (last 12 months)
273.8 INR
Maximum value
1
x
4
=
5 987.47 INR
Fair value
2
x
4
=
4 830.12 INR
Minimum value
3
x
4
=
4 512.77 INR
Bajaj Auto Ltd price metrics
32.5
Annual return (geometric mean)
26.8
Risk (standard deviation) of returns
β
1.0
Beta (volatility compared to market)