Is Craftsman Auto overvalued or undervalued?
As of August 29, 2025, Craftsman Auto is fairly valued with a PE ratio of 70.35, an EV to EBITDA ratio of 20.66, and a Price to Book Value of 5.73, supported by a year-to-date stock return of 28.41% and effective capital management reflected in a ROCE of 9.54% and ROE of 7.36%.
As of 29 August 2025, Craftsman Auto's valuation grade has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 70.35, an EV to EBITDA ratio of 20.66, and a Price to Book Value of 5.73. In comparison to its peers, Craftsman Auto's PE ratio is notably higher than Rail Vikas, which stands at 52.97, and significantly lower than Tube Investments, which is at 87.78, indicating a relative position within the market.The company's return metrics also support its valuation stance, with a year-to-date stock return of 28.41%, outperforming the Sensex's return of 2.14%. This performance, along with a ROCE of 9.54% and ROE of 7.36%, suggests that Craftsman Auto is managing its capital effectively, reinforcing its fair valuation in the current market landscape.
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