Is Ecoboard Inds. overvalued or undervalued?

As of 25 April 2023, the valuation grade for Ecoboard Industries has moved from does not qualify to risky, indicating a significant shift in its perceived financial health. The company appears to be overvalued given its negative PE ratio of -5.51, a price-to-book value of -10.61, and an EV to EBITDA of -8.33. These ratios suggest that the company's financial performance is not only poor but also deteriorating, which is concerning for potential investors.
In comparison to its peers, Ecoboard's ratios starkly contrast with those of Century Plyboard, which has a PE ratio of 90.65 and an EV to EBITDA of 39.15, indicating a much healthier valuation. Greenply Industries also presents a more attractive profile with a PE ratio of 42.02 and an EV to EBITDA of 18.27. The recent stock performance shows that while Ecoboard has outperformed the Sensex over the past three years with a return of 66.49%, its year-to-date performance of -2.98% compared to the Sensex's 5.58% suggests that the market may be reassessing its value negatively. Overall, Ecoboard Industries is currently overvalued based on its financial metrics and peer comparisons.