Is Damodar Indust. overvalued or undervalued?

As of 14 October 2025, the valuation grade for Damodar Industries has moved from very attractive to attractive. Based on the current analysis, the company appears to be undervalued. The PE ratio stands at 9.83, while the Price to Book Value is notably low at 0.54, indicating potential upside. Additionally, the EV to EBITDA ratio is 10.55, which is relatively favorable compared to its peers.
In comparison to its industry peers, Damodar Industries shows a more attractive valuation than K P R Mill Ltd, which has a PE ratio of 42.08 and is considered very expensive, and Trident, which has a PE of 32.54 and is rated fair. Notably, the PEG ratio for Damodar is exceptionally low at 0.05, suggesting that the stock may be undervalued relative to its growth potential. Despite recent underperformance against the Sensex, with a year-to-date return of -23.55% compared to the Sensex's 4.98%, the valuation metrics indicate that Damodar Industries could represent a buying opportunity for investors looking for value in the garments and apparels sector.