Is Aveer Foods overvalued or undervalued?

As of 10 June 2025, Aveer Foods has moved from a fair to an expensive valuation grade. The company is currently overvalued, with a PE ratio of 81.79, a Price to Book Value of 16.13, and an EV to EBITDA of 40.87. In comparison to its peers, Hindustan Unilever has a PE of 54.03 and Nestle India has a PE of 75.83, both indicating that Aveer Foods is trading at a significant premium relative to these established companies in the FMCG sector.
Despite its high valuation, Aveer Foods has shown strong performance with a year-to-date return of 28.08%, significantly outperforming the Sensex's 5.44% during the same period. However, the elevated valuation metrics suggest that investors may be pricing in excessive growth expectations, making the stock less attractive at its current price of 800.00.