Is Balaji Amines overvalued or undervalued?

As of 30 May 2025, Balaji Amines has moved from an expensive to a very expensive valuation grade. The company is currently considered overvalued. Key ratios include a PE ratio of 30.48, an EV to EBITDA of 19.21, and a Price to Book Value of 2.60, which are significantly higher than many of its peers. For instance, Solar Industries has a PE ratio of 123.77 and an EV to EBITDA of 76.22, while Godrej Industries, which is rated attractive, has a PE of 46.63 and an EV to EBITDA of 34.36.
In comparison to its peers, Balaji Amines' valuation metrics suggest that it is trading at a premium, particularly with a PEG ratio of 0.00, indicating no growth expectations priced in. The company's recent stock performance has been underwhelming, with a year-to-date return of -16.23%, contrasting sharply with the Sensex's 5.61% gain during the same period. This further reinforces the notion that Balaji Amines is overvalued in the current market environment.