diff --git a/erpnext/stock/doctype/item/item.py b/erpnext/stock/doctype/item/item.py
index 53faa43..ad1407a 100644
--- a/erpnext/stock/doctype/item/item.py
+++ b/erpnext/stock/doctype/item/item.py
@@ -451,6 +451,8 @@
 				"valuation_method", "has_batch_no", "is_fixed_asset")
 
 			vals = frappe.db.get_value("Item", self.name, to_check, as_dict=True)
+			if not vals.get('valuation_method'):
+				vals['valuation_method'] = frappe.db.get_single_value("Stock Settings", "valuation_method") or "FIFO"
 
 			if vals:
 				for key in to_check: