Is ABS Marine overvalued or undervalued?

As of 21 July 2025, ABS Marine's valuation grade has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued, with a PE ratio of 19.20, an EV to EBIT of 15.15, and an ROE of 21.61%. In comparison to its peers, GE Shipping Co has a significantly lower PE ratio of 6.03, while S C I boasts a more attractive valuation with a PE of 12.07, highlighting the competitive landscape in the transport services industry.
Despite the recent fluctuations in stock performance, ABS Marine's valuation metrics suggest it is positioned reasonably within its sector. The stock has underperformed the Sensex over the past year, with a return of -37.27% compared to the Sensex's 2.28%, which may indicate market skepticism. However, the company's strong ROCE of 26.68% suggests robust operational efficiency, reinforcing the view that it is fairly valued in the current market context.