Rane Fair Value
RM
The fair market value of RML.NS stock is 92.14 INR. Relative to the market price of 817.25 INR Rane is overvalued by 88.7%
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
Rane Valuation
Current RML.NS share ticker price is 817.25 INR.
The fair value level of 92.14 INR can be considered as an effective entry point for long-term investors to start investing in RML.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 89% higher its fair value
Current price is 94% higher its minimum value
Current price is 3% lower its maximum value
Market price:
RML.NS stock is overvalued
It means the current price may concern as a Risky Entry Point
Rane (Madras) 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
577.73
2
Median P/E over 5 years
63.34
3
Minimum P/E over 5 years
31.31
4
Earning per share (last 12 months)
1.45 INR
Maximum value
1
x
4
=
840.42 INR
Fair value
2
x
4
=
92.14 INR
Minimum value
3
x
4
=
45.55 INR
Rane (Madras) Ltd price metrics
30.01
Annual return (geometric mean)
54.88
Risk (standard deviation) of returns
β
0.59
Beta (volatility compared to market)