Is Acme Resources overvalued or undervalued?

As of 1 July 2025, Acme Resources has moved from a valuation grade of very expensive to expensive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 29.83, an EV to EBIT of 24.18, and a ROCE of 3.40%.
In comparison to its peers, Acme Resources' PE ratio is significantly higher than Life Insurance, which has a PE of 12.71, and IRFC, which stands at 28.43. The PEG ratio of Acme at 0.28 suggests potential growth, but when juxtaposed with the industry averages, it reflects a premium valuation that may not be justified. Despite a strong 5-year return of 632.5% compared to the Sensex's 136.34%, the current valuation metrics indicate that Acme Resources is overvalued in the current market environment.