Is Caprolactam Chem overvalued or undervalued?

As of 17 November 2025, the valuation grade for Caprolactam Chem has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 2297.24, an EV to EBITDA of 13.31, and a ROCE of 5.74%. In comparison to its peers, Sun Pharma has a PE ratio of 36.69 and an EV to EBITDA of 24.22, while Cipla stands at a more attractive PE of 22.81 and an EV to EBITDA of 16.14.
Despite the recent stock performance showing a 7.70% return over the past week compared to a 1.69% return for the Sensex, the year-to-date return of -9.36% indicates some challenges for the company. Overall, Caprolactam Chem's valuation metrics suggest it is positioned fairly within its industry, especially when compared to peers like Aurobindo Pharma, which is also rated fair with a PE of 21.23.