Is Anjani Foods overvalued or undervalued?

As of 18 July 2025, Anjani Foods has moved from an attractive to a very attractive valuation grade. The company is currently considered undervalued, especially when compared to its peers in the FMCG sector. Key ratios include a PE ratio of 49.97, an EV to EBITDA of 18.16, and a PEG ratio of 4.44, which indicate that while the company is priced at a premium, it may still present a compelling investment opportunity relative to its growth prospects.
In comparison to its peers, Anjani Foods' PE ratio is lower than Hindustan Unilever's 56.18 and Nestle India's 77.01, both of which are categorized as very expensive. Additionally, Anjani's EV to EBITDA is significantly more favorable than competitors like Pidilite Industries at 48.95 and Britannia Industries at 43.40. Despite recent underperformance against the Sensex, with a year-to-date return of -31.98% compared to the Sensex's 4.63%, the long-term growth potential reflected in its valuation metrics suggests that Anjani Foods may be a worthwhile investment at its current price.