Is Ambo Agritec overvalued or undervalued?

As of 16 September 2025, Ambo Agritec's valuation grade has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently assessed as overvalued, with a PE ratio of 35.00, an EV to EBIT of 32.62, and an EV to EBITDA of 31.27. These ratios are considerably higher than its peers, such as Gokul Agro, which has a PE of 22.21 and an EV to EBITDA of 11.00, and Guj. Ambuja Exp, with a PE of 21.15 and an EV to EBITDA of 11.45.
The stark contrast in valuation metrics highlights Ambo Agritec's overvaluation, especially when compared to its peers in the edible oil industry. Additionally, the company's recent stock performance has been poor, with a year-to-date return of -59.13%, significantly underperforming the Sensex, which has gained 5.43% in the same period. This further reinforces the conclusion that Ambo Agritec is not only overvalued but also struggling in the current market environment.