Is Beryl Drugs overvalued or undervalued?

As of 2 June 2025, Beryl Drugs has moved from an attractive to a very attractive valuation grade, indicating a significant improvement in its perceived value. The company is currently undervalued, with a price-to-earnings (PE) ratio of 9.89, an EV to EBITDA ratio of 4.98, and a price-to-book value of 1.04. These metrics suggest that Beryl Drugs is trading at a discount compared to its peers, particularly when compared to Sun Pharma, which has a PE ratio of 35.25, and Divi's Lab, with a PE ratio of 79.33.
In the context of its industry, Beryl Drugs stands out with a PEG ratio of 0.00, indicating that it may be undervalued relative to its growth potential. The company's return on capital employed (ROCE) is 10.96%, which is respectable, especially when compared to the higher valuations of its peers. Notably, while Beryl Drugs has faced challenges with a year-to-date stock return of -43.98%, it has outperformed the Sensex over the past week and month, suggesting a potential rebound.