Is Andhra Paper overvalued or undervalued?

As of 28 July 2025, the valuation grade for Andhra Paper has moved from very expensive to expensive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 16.91, an EV to EBITDA of 7.65, and a Price to Book Value of 0.77. In comparison with peers, JK Paper, which is rated very attractive, has a lower PE ratio of 14.63, while West Coast Paper is also expensive with a PE of 11.51. The performance of Andhra Paper has lagged significantly, with a year-to-date return of -20.23%, contrasting sharply with the Sensex's return of 3.52% during the same period. This further supports the conclusion that Andhra Paper is overvalued in its current market position.