Is Chamanlal Setia overvalued or undervalued?

As of 13 November 2025, the valuation grade for Chamanlal Setia has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued, with a PE ratio of 14.34, an EV to EBITDA of 8.60, and a ROCE of 24.82%. In comparison to its peers, KRBL has a higher PE ratio of 16.12 and an EV to EBITDA of 11.31, while GRM Overseas is deemed expensive with a PE ratio of 44.39.
Chamanlal Setia's valuation metrics suggest that it is trading at a discount relative to its peers, reinforcing the notion of being undervalued. Despite recent stock performance lagging behind the Sensex, particularly with a year-to-date decline of 36.67% compared to the Sensex's gain of 8.11%, the long-term perspective shows significant growth, with a 5-year return of 223.29%. This long-term performance, coupled with attractive valuation ratios, supports the conclusion that Chamanlal Setia presents a compelling investment opportunity.