Is Aditya Ultra overvalued or undervalued?

As of 7 November 2025, the valuation grade for Aditya Ultra has moved from attractive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 9.53, an EV to EBIT of 8.33, and an EV to EBITDA of 7.59, which indicate a reasonable valuation relative to its earnings and cash flow generation capabilities.
In comparison to its peers, Aditya Ultra's PE ratio is significantly lower than that of JSW Steel, which is considered expensive at 46.73, and Tata Steel, which is also fairly valued at 46.67. This suggests that while Aditya Ultra is fairly valued, it presents a more attractive entry point compared to its higher-valued peers. Additionally, the company's stock has underperformed relative to the Sensex over the past year, with a return of -31.29% compared to the Sensex's 5.34%, reinforcing the notion that it may be undervalued in the current market context.