Is Deem Roll-Tech overvalued or undervalued?

As of 28 August 2025, Deem Roll-Tech's valuation grade has moved from fair to very attractive, indicating a significant improvement in its investment appeal. The company is currently considered undervalued, especially when compared to its peers. Key ratios include a PE ratio of 17.25, an EV to EBITDA of 9.13, and a Price to Book Value of 0.59, all of which suggest a favorable valuation relative to its earnings and asset base.
In terms of peer comparison, Deem Roll-Tech's PE ratio is notably lower than Bharat Forge's 52.42 and Sona BLW Precision's 46.39, which are both classified as expensive. Additionally, CIE Automotive, another very attractive peer, has a PE of 18.83, further underscoring Deem Roll-Tech's relative undervaluation. Despite a challenging year with a stock return of -30.68% compared to a 3.62% gain in the Sensex, the company's current valuation metrics suggest it presents a compelling investment opportunity.