Is Chembond Chemic. overvalued or undervalued?

As of 29 August 2025, the valuation grade for Chembond Chemic. has moved from does not qualify to very attractive. This indicates a significant improvement in its valuation standing, suggesting that the company is currently undervalued. The key ratios supporting this assessment include a PE ratio of 16.03, an EV to EBITDA of 10.41, and a ROCE of 32.77%, all of which are favorable compared to its peers.
In the peer comparison, Chembond Chemic. stands out with a PE ratio of 16.03, while Solar Industries is very expensive at 98.93, and Godrej Industries, which is attractive, has a PE of 40.99. The low PEG ratio of 0.00 further emphasizes Chembond's potential for growth relative to its price. Despite recent stock performance showing a decline of 14.8% over the past week compared to a minor drop in the Sensex, the overall valuation metrics indicate that Chembond Chemic. is positioned well in the specialty chemicals industry and is undervalued.