Is Dr Lalchand. Lab overvalued or undervalued?

As of 19 September 2025, the valuation grade for Dr Lalchand Lab has moved from expensive to attractive, indicating a significant shift in its perceived value. The company is currently assessed as undervalued. Key ratios supporting this conclusion include a PE ratio of 9.97, an EV to EBITDA ratio of 10.33, and a Price to Book Value of 1.00, all of which suggest a favorable valuation compared to its peers.
In comparison to its industry peers, Dr Lalchand Lab stands out with a much lower PE ratio than Apollo Hospitals, which has a PE of 71.29, and Max Healthcare, which is at 93.83. This stark contrast highlights Dr Lalchand Lab's relative attractiveness in the market. Additionally, while the company's stock has underperformed in the short term with a 1-week return of -11.43% compared to a 0.88% gain in the Sensex, its year-to-date return of 36.15% significantly outpaces the Sensex's 5.74%, reinforcing the notion that it may be undervalued relative to its growth potential.