Is Acme Resources overvalued or undervalued?

As of 1 October 2025, Acme Resources has moved from a valuation grade of very expensive to expensive. The company is currently deemed overvalued, with a PE ratio of 26.74, an EV to EBIT ratio of 22.00, and a Price to Book Value of 0.78. These ratios indicate that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Acme Resources has a higher PE ratio than Bajaj Finance, which stands at 35.27, but is significantly lower than Life Insurance, which boasts a PE of 11.74. Additionally, the PEG ratio of Acme at 0.12 suggests that the stock may not be justified by its growth prospects, especially when compared to Bajaj Finserv's PEG of 2.39. Recent stock performance shows that Acme has outperformed the Sensex over the past year, returning 10.5% compared to the Sensex's -3.90%, but the overall valuation still indicates it is overvalued in the current market context.