Is ADF Foods overvalued or undervalued?

As of 2 July 2025, ADF Foods has moved from an expensive to a fair valuation grade. The company appears to be fairly valued based on its current metrics. Key ratios include a PE ratio of 41.51, an EV to EBITDA of 28.40, and a ROCE of 20.91%.
In comparison to its peers, ADF Foods' PE ratio is significantly lower than Hindustan Unilever's 51.99 and Nestle India's 74.44, indicating a more attractive valuation relative to these competitors. While the stock has underperformed the Sensex in the year-to-date period, with a return of -10.52% compared to the Sensex's 6.75%, its long-term performance remains strong, with a 5-year return of 344.02%. Overall, ADF Foods is fairly valued in the current market landscape.