Is Acme Resources overvalued or undervalued?

As of 17 October 2025, Acme Resources has moved from an expensive to a very expensive valuation grade. The company is currently overvalued, with a PE ratio of 26.15, an EV to EBIT of 21.56, and a PEG ratio of 0.11. In comparison to its peers, Bajaj Finance has a significantly higher PE ratio of 38.21, while Life Insurance stands out with a much lower PE ratio of 11.49, indicating that Acme Resources is priced at a premium relative to some competitors.
The company's financial metrics reveal a ROCE of 3.40% and a ROE of 2.71%, which are relatively low and suggest inefficiencies in generating returns. Additionally, Acme Resources has underperformed the Sensex year-to-date, with a return of -19.99% compared to the Sensex's 7.44%. This further reinforces the notion that the stock is overvalued given its current price of 38.90, especially in light of its recent performance and the valuation metrics compared to its peers.