Is Arrow Greentech overvalued or undervalued?

As of 6 November 2025, Arrow Greentech's valuation grade has moved from very expensive to expensive, indicating a slight improvement in perceived value but still reflecting high valuation metrics. The company is currently considered overvalued. Key ratios include a PE ratio of 16.26, an EV to EBITDA of 10.54, and a PEG ratio of 0.48, which suggests that while growth is expected, the current price may not justify the earnings potential.
In comparison to its peers, Arrow Greentech's PE ratio is significantly lower than that of Supreme Industries and Astral, which are both categorized as very expensive with PE ratios of 57.41 and 82.63, respectively. However, it still appears elevated compared to more fairly valued companies like Finolex Industries, which has a PE of 28.63. Additionally, the company's recent stock performance has lagged behind the Sensex, particularly over the past year, where it has declined by 41.28% compared to the Sensex's 3.65% gain, reinforcing the notion that Arrow Greentech may be overvalued in the current market context.