Is Century Enka overvalued or undervalued?

As of 12 September 2025, the valuation grade for Century Enka has moved from very expensive to expensive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 19.21, an EV to EBITDA of 8.54, and a PEG ratio of 2.58.
When compared to peers, Century Enka's PE ratio is significantly lower than K P R Mill Ltd, which stands at 42, but higher than Vardhman Textile's 14.56. Additionally, Century Enka's EV to EBITDA is more favorable than K P R Mill Ltd's 27.8 but less favorable than Trident's 16.08. Despite a recent decline in stock price, Century Enka has outperformed the Sensex over the long term, with a 5-year return of 178.24% compared to the Sensex's 110.80%.