Is Bombay Oxygen overvalued or undervalued?

As of 3 November 2025, the valuation grade for Bombay Oxygen has moved from very expensive to risky. The company is currently assessed as overvalued. Key ratios indicate significant financial distress, with a PE ratio of -42.06, an EV to EBITDA of -32.75, and a Price to Book Value of just 0.07, highlighting the company's struggles in generating profits and managing its capital effectively.
In comparison to its peers, Bombay Oxygen's valuation metrics are starkly unfavorable. For instance, Linde India, categorized as very expensive, has a PE ratio of 114.15, while Petronet LNG, rated very attractive, boasts a PE of 11.54. The stark contrast in these ratios underscores the challenges faced by Bombay Oxygen in the current market landscape. Additionally, the company's recent stock performance has been underwhelming, with a year-to-date return of -16.78%, significantly lagging behind the Sensex's gain of 7.47% during the same period.