Is B&A overvalued or undervalued?

As of 7 November 2025, B&A's valuation grade has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently assessed as undervalued, with a PE ratio of 13.36, an EV to EBITDA ratio of 14.84, and a Price to Book Value of 0.88. These ratios suggest that B&A is trading at a discount compared to its peers, particularly when considering Tata Consumer's PE ratio of 86.52 and CCL Products' PE ratio of 40.52, which are significantly higher.
In addition to its attractive valuation metrics, B&A's ROE stands at 5.50% and ROCE at 1.98%, which, while modest, indicate potential for improvement. The company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -23.81% compared to the Sensex's 6.50%. This underperformance may further contribute to the perception of undervaluation, presenting a potential opportunity for investors looking for value in the FMCG sector.