Is Adarsh Plant overvalued or undervalued?

As of 2 June 2025, the valuation grade for Adarsh Plant has moved from expensive to risky. The company appears to be overvalued based on its financial metrics, which include a PE ratio of -21.94, an EV to EBITDA of -28.94, and a ROE of -113.00%. These figures indicate significant financial distress and a lack of profitability, which is concerning for potential investors.
In comparison to its peers, Adarsh Plant's valuation stands out negatively; for instance, Altius Telecom holds a very attractive PE ratio of 52.97, while Embassy Office REIT is considered very expensive with a PE of 23.06. The stark contrast in these ratios highlights the challenges Adarsh Plant faces within the Pesticides & Agrochemicals industry. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -27.71% compared to the Sensex's 5.62%, reinforcing the notion that Adarsh Plant is currently overvalued.