Is Century Plyboard overvalued or undervalued?

As of 27 June 2025, Century Plyboard's valuation grade has moved from fair to expensive, indicating a shift in its market perception. The company is currently considered overvalued. Key ratios highlight this position, with a PE ratio of 90.14, an EV to EBITDA of 38.95, and a Price to Book Value of 7.36, all of which are significantly higher than its peers.
In comparison, Greenply Industries has a PE ratio of 42.83 and an EV to EBITDA of 18.58, while Greenpanel Industries stands out with a PE of 23.29 and an EV to EBITDA of 13.72. These figures suggest that Century Plyboard is trading at a premium compared to its competitors in the plywood and laminates industry. Additionally, while Century Plyboard has shown positive stock returns over various periods, it still lags behind the Sensex in the longer term, reinforcing the notion of its current overvaluation.