Is Dhyaani Trade overvalued or undervalued?

As of 17 October 2025, the valuation grade for Dhyaani Trade has moved from attractive to fair. The company is currently assessed as overvalued given its high PE ratio of 137.88, coupled with a low Price to Book Value of 0.40 and an EV to Sales ratio of 1.55. These metrics suggest that the stock price does not align well with its underlying financial performance.
In comparison to peers, Dhyaani Trade's PE ratio significantly exceeds that of Kajaria Ceramics at 51 and L T Foods at 23.47, both of which are considered fairly valued or better. Additionally, Dhyaani's ROCE of 1.15% and ROE of 0.29% indicate poor returns relative to its equity and capital employed. The company's recent stock performance has been disappointing, with a year-to-date return of -51.86%, contrasting sharply with the Sensex's gain of 7.44% over the same period, reinforcing the notion that Dhyaani Trade is currently overvalued.