IDFC First Fair Value
ID
The fair market value of IDFCFIRSTB.NS stock is 86.18 INR. Relative to the market price of 73.82 INR IDFC First Bank is undervalued by 16.7%
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
IDFC First Valuation
Current IDFCFIRSTB.NS share ticker price is 73.82 INR.
The fair value level of 86.18 INR can be considered as an effective entry point for long-term investors to start investing in IDFCFIRSTB.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 17% lower its fair value
Current price is 5% higher its minimum value
Current price is 629% lower its maximum value
Market price:
IDFCFIRSTB.NS stock is undervalued
It means the current price may concern as a Moderate Risk Entry Point
IDFC First Bank 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
126
2
Median P/E over 5 years
20.18
3
Minimum P/E over 5 years
16.4
4
Earning per share (last 12 months)
4.27 INR
Maximum value
1
x
4
=
538.18 INR
Fair value
2
x
4
=
86.18 INR
Minimum value
3
x
4
=
70.03 INR
IDFC First Bank Ltd price metrics
11.5
Annual return (geometric mean)
39.8
Risk (standard deviation) of returns
β
0.8
Beta (volatility compared to market)