Is Fabino Enter overvalued or undervalued?

As of 12 June 2025, the valuation grade for Fabino Enter has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently considered overvalued. Key ratios include a PE ratio of 5.20, an EV to EBIT of 6.01, and a ROE of 3.13%.
When compared to peers, Fabino Enter's PE ratio is considerably lower than Sun Pharma's 35.4 and Divi's Lab's 81.3, both classified as expensive to very expensive. This suggests that while Fabino Enter is overvalued, it is still trading at a discount relative to its peers, which may indicate potential for price correction. Additionally, the company's recent stock performance has underperformed against the Sensex, with a year-to-date return of -24.77% compared to the Sensex's positive return of 4.55%.