Is Angel Fibers overvalued or undervalued?

As of 20 August 2025, the valuation grade for Angel Fibers has moved from risky to very expensive, indicating a significant shift in its perceived value. The company is currently considered overvalued, with a PE ratio of 28.80, an EV to EBIT of 66.85, and a ROE of 7.04%. In comparison to its peers, K P R Mill Ltd has a much higher PE ratio of 42.19 and an EV to EBITDA of 27.92, while Vardhman Textile, which is rated fair, has a PE ratio of 14.5 and an EV to EBITDA of 10.51.
The company's recent stock performance has shown volatility, with a 1-week return of -4.98%, contrasting with a 1-month return of 19.57%, suggesting some short-term fluctuations. Overall, given the high valuation ratios and the comparison with peers, Angel Fibers appears to be overvalued in the current market context.