Is Damodar Indust. overvalued or undervalued?

As of 1 October 2025, the valuation grade for Damodar Industries has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently assessed as undervalued. Key ratios supporting this assessment include a PE ratio of 10.14, a Price to Book Value of 0.56, and an EV to EBITDA of 10.65, all of which suggest that the stock is trading at a discount relative to its earnings and assets.
In comparison to its peers, Damodar Industries stands out with a much lower PE ratio than K P R Mill Ltd, which has a PE of 43.71, and a more favorable EV to EBITDA ratio compared to Trident, which is at 15.75. Despite recent underperformance against the Sensex, with a year-to-date return of -21.13% compared to the Sensex's 3.64%, the company's strong valuation metrics indicate that it may present a compelling investment opportunity at its current price of 34.30.