Is Cera Sanitary. overvalued or undervalued?

As of 14 November 2025, Cera Sanitary has moved from an attractive to a very attractive valuation grade. The company is currently undervalued, with a PE ratio of 29.55, an EV to EBITDA of 22.46, and a robust ROCE of 35.69%. In comparison, Kajaria Ceramics, a peer, has a significantly higher PE ratio of 45.87, while L T Foods shows a lower PE of 22.64, indicating that Cera Sanitary is trading at a more favorable valuation relative to its peers.
Despite the recent stock performance lagging behind the Sensex, with a year-to-date return of -26.45% compared to the Sensex's 8.22%, the company's strong financial metrics suggest it is well-positioned for future growth. The PEG ratio of 0.00 further emphasizes the potential for value appreciation, reinforcing the conclusion that Cera Sanitary is undervalued in the current market.