Is Cheviot Company overvalued or undervalued?

As of 6 November 2025, the valuation grade for Cheviot Company has moved from fair to very attractive, indicating a significant improvement in its perceived value. The company is currently undervalued, with a PE ratio of 11.35, a Price to Book Value of 1.05, and an EV to EBITDA of 9.95, which are all favorable compared to its peers.
In comparison, K P R Mill Ltd is deemed very expensive with a PE ratio of 43.81, while Vardhman Textile is attractive with a PE ratio of 14.68. Cheviot's PEG ratio stands at 0.00, suggesting that it is undervalued relative to its growth potential. Despite recent stock performance lagging behind the Sensex, particularly over the past year with a decline of 12.97% compared to the Sensex's 3.65% gain, the company's strong valuation metrics position it as a compelling investment opportunity.