Encompass Design India (NSE:ENCOMPAS) Intrinsic Value: DCF (Earnings Based): ₹35.42 (As of Aug. 23, 2026)

Author: Vera Yuan Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

NSE:ENCOMPAS Encompass Design India Ltd NSE:ENCOMPAS
21 GF Score
Price ₹234.20
! 3 Warning Signs
View Full Analysis

What is Encompass Design India Intrinsic Value: DCF (Earnings Based)?

Encompass Design India NSE:ENCOMPAS -3.38% 21 Intrinsic Value: DCF (Earnings Based) is ₹35.42 as of Aug. 23, 2026. GuruFocus rates NSE:ENCOMPAS with a GF Score™ of 21/100. The stock has 3 warning signs investors should review. Among 144 Retail - Cyclical companies, Encompass Design India ranks worse than 694443.75% on this metric.

As of today (2026-08-23), Encompass Design India's intrinsic value calculated from the Discounted Earnings model is ₹35.42.

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's predictability rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

Encompass Design India's Predictability Rank is Not Rated. Thus, this page is only used for demonstration purposes and the DCF related results in the screener and portfolio will appear as zero.

Margin of Safety (Earnings Based) using Discounted Earnings model for Encompass Design India is -561.21%.

The historical rank and industry rank for Encompass Design India's Intrinsic Value: DCF (Earnings Based) or its related term are showing as below:

NSE:ENCOMPAS's Price-to-DCF (Earnings Based) is not ranked *
in the Retail - Cyclical industry.
Industry Median: 0.85
* Ranked among companies with meaningful Price-to-DCF (Earnings Based) only.

Encompass Design India  (NSE:ENCOMPAS) Intrinsic Value: DCF (Earnings Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book Value per Share, Graham Number, Median Ratio etc, discounted Cash Flow model evaluates the companies based on their future earnings power instead of their assets.


Be Aware

What you need to know about Discounted Earnings model:

1. The Discounted Earnings model evaluates a company based on its future earnings power
2. Growth is taken into account; therefore a faster growth company is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies that are relatively consistent performers.
4. The Discounted Earnings model works poorly for inconsistent performers like cyclicals.
5. Your expected return from the investment is a reasonable discount rate assumption.
6. A larger margin of safety should be required for companies with less predictable businesses.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


Encompass Design India Intrinsic Value: DCF (Earnings Based) Related Terms


Encompass Design India Intrinsic Value: DCF (Earnings Based) Historical Data

* Premium members only.

The historical data trend for Encompass Design India's Intrinsic Value: DCF (Earnings Based) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Encompass Design India Intrinsic Value: DCF (Earnings Based) Chart

Encompass Design India Annual Data
Trend Mar23 Mar24 Mar25
Intrinsic Value: DCF (Earnings Based)
0.00 0.00 0.00

Encompass Design India Semi-Annual Data
Mar23 Mar24 Mar25 Sep25
Intrinsic Value: DCF (Earnings Based) 0.00 0.00 0.00 0.00

NSE:ENCOMPAS vs HD, LOW, FND: Intrinsic Value: DCF (Earnings Based) Comparison

For the Home Improvement Retail subindustry, Encompass Design India's Price-to-DCF (Earnings Based), along with its competitors' market caps and Price-to-DCF (Earnings Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Encompass Design India Price-to-DCF (Earnings Based) vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Encompass Design India's Price-to-DCF (Earnings Based) distribution charts can be found below:

* The bar in red indicates where Encompass Design India's Price-to-DCF (Earnings Based) falls into.


NSE:ENCOMPAS
21GF Score
Encompass Design India Ltd NSE:ENCOMPAS
Intrinsic Value: DCF (Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Encompass Design India Intrinsic Value: DCF (Earnings Based) Calculation

This is the intrinsic value calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow. This is the default method of calculation with GuruFocus DCF calculator.

Usually a two-stage model is used in calculating the intrinsic value with discounted cash flow model. The first stage is called growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DCF calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 13%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 6.89%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Growth Rate in the growth stage: g1 = 5%
The Growth Rate in the growth stage is initially set as the default 10-Year EPS without NRI Growth Rate. In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year EPS without NRI Growth Rate. If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year EPS without NRI Growth Rate.
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
=> Encompass Design India's average EPS without NRI Growth Rate in the past 3 years was 0.00%, which is less than 5%. GuruFocus defaults => Growth Rate: 5%

3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Years of Terminal Growth: y2 = 10

6. EPS without NRI: eps without nri = ₹3.558.
GuruFocus DCF calculator is actually a Discounted Earnings calculator, EPS without NRI is used as the default. The reason we are doing this is we found that historically stock prices are more correlated with earnings than free cash flow.

All of the default settings can be changed and the results are calculated automatically.

Encompass Design India's Intrinsic Value: DCF (Earnings Based) for today is calculated as:

Intrinsic Value: DCF (Earnings Based)=EPS without NRI*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+0.05)/(1+0.13) = 0.92920353982301
and y = (1+g2)/(1+d) = (1+0.04)/(1+0.13) = 0.92035398230089

Intrinsic Value: DCF (Earnings Based)=EPS without NRI*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=EPS without NRI*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=3.558*9.9539
=35.42

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(35.42-234.20)/35.42
=-561.21 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Intrinsic Value: DCF (Earnings Based) of ₹35.42 mean?
Encompass Design India (NSE:ENCOMPAS) has a Intrinsic Value: DCF (Earnings Based) of ₹35.42 as of Aug. 23, 2026. Intrinsic Value: DCF (Earnings Based) is the stock value based on a two-stage discounted earnings model. View historical data on Encompass Design India and its competitors. According to the industry distribution chart, Encompass Design India ranks #999999 out of 144 companies in the Retail - Cyclical industry.
Is Encompass Design India's Intrinsic Value: DCF (Earnings Based) too high?
Encompass Design India's current Intrinsic Value: DCF (Earnings Based) is ₹35.42. Based on the distribution chart, Encompass Design India ranks #999999 out of 144 companies in the Retail - Cyclical industry, which is in the bottom quartile relative to peers. Overall, Encompass Design India has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Encompass Design India's Intrinsic Value: DCF (Earnings Based) compare to HD and LOW?
According to the Retail - Cyclical industry distribution chart, Encompass Design India ranks #999999 out of 144 companies for Intrinsic Value: DCF (Earnings Based). This places Encompass Design India in the lower half of its industry. The industry median Intrinsic Value: DCF (Earnings Based) is 0.85. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Intrinsic Value: DCF (Earnings Based) for a Retail - Cyclical company?
The median Intrinsic Value: DCF (Earnings Based) among Retail - Cyclical companies is 0.85, based on 144 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: DCF (Earnings Based) significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: DCF (Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Intrinsic Value: DCF (Earnings Based) mean?
A high Intrinsic Value: DCF (Earnings Based) can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: DCF (Earnings Based) is the stock value based on a two-stage discounted earnings model. View historical data on Encompass Design India and its competitors. For the Retail - Cyclical industry, the median Intrinsic Value: DCF (Earnings Based) is 0.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Encompass Design India's current Intrinsic Value: DCF (Earnings Based) is ₹35.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encompass Design India stock overvalued right now?
Encompass Design India (NSE:ENCOMPAS) has a current Intrinsic Value: DCF (Earnings Based) of ₹35.42. The current Intrinsic Value: DCF (Earnings Based) is ₹35.42. Encompass Design India's overall GF Score™ is 21/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: DCF (Earnings Based) calculated?
Intrinsic Value: DCF (Earnings Based) is calculated from a company's financial statements. For Encompass Design India (NSE:ENCOMPAS), the current Intrinsic Value: DCF (Earnings Based) is ₹35.42 as of Aug. 23, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Encompass Design India Business Description

Address Shop No. A-101, Opposite Western Express Highway, Virwani Indl Estate, Goregaon East, Mumbai, MH, IND, 400063
Encompass Design India Ltd is principally engaged in the manufacturing of home and lifestyle products, such as bed sheets, curtains, comforters, table linens, and pillow covers, as well as food products, with a primary focus on sauces, marketed under its own brands. The company is also involved in the trading of agro-based products, cotton, and fabrics. The company's business operations are spread across multiple segments, including manufacturing of home and lifestyle products, development and marketing of food products, trading of fabrics, cotton and agro-based products, and (iv) providing digital and e-commerce support services. The company derives revenue from the manufacturing and export of its Textile and Sauces Food brands.
21GF Score

Get the complete analysis for NSE:ENCOMPAS

Intrinsic Value: DCF (Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹234.20
Price