Is Bayer CropSci. overvalued or undervalued?

As of 23 September 2025, Bayer CropScience's valuation grade has moved from very expensive to expensive, indicating a slight improvement in perceived value. The company is currently considered overvalued. Key ratios include a PE ratio of 38.56, an EV to EBITDA of 30.30, and a Price to Book Value of 8.01, all of which suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to peers, UPL has a PE ratio of 38.05 and an EV to EBITDA of 9.17, while BASF India shows a higher PE of 48.65 but a lower EV to EBITDA of 29.09. This highlights that Bayer CropScience's valuation is on the higher end relative to its peers in the pesticides and agrochemicals sector. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -8.70% compared to the Sensex's 5.07%, reinforcing the notion that the stock may be overvalued at its current price of 5070.90.