Is Cera Sanitary. overvalued or undervalued?

As of 19 November 2025, the valuation grade for Cera Sanitary has moved from attractive to very attractive. The company is currently considered undervalued, with a PE ratio of 29.79, an EV to EBITDA ratio of 22.65, and a ROCE of 35.69%. In comparison to its peers, Kajaria Ceramics has a significantly higher PE ratio of 44.35, while L T Foods shows a lower PE ratio of 22.57, indicating that Cera Sanitary is positioned favorably within its industry.
Despite its recent stock performance lagging behind the Sensex, with a year-to-date return of -25.86% compared to the Sensex's 9.02%, the underlying financial metrics suggest that Cera Sanitary presents a compelling investment opportunity. The company's strong ROE of 18.26% further reinforces its potential for growth, making it an attractive option for investors seeking value in the diversified consumer products sector.