Is Fabino Enter overvalued or undervalued?

As of 8 August 2025, the valuation grade for Fabino Enter has moved from risky to expensive, indicating a shift in perception regarding its financial health and market positioning. The company is currently assessed as overvalued. Key ratios include a PE ratio of 5.46, an EV to EBIT of 6.27, and a ROE of 3.13%.
In comparison to its peers, Fabino Enter's PE ratio is significantly lower than that of Sun Pharma at 33.19 and Divi's Lab at 68.04, both of which are categorized as expensive or very expensive. This suggests that while Fabino Enter's valuation appears high relative to its earnings, it is still trailing behind its more highly valued competitors. Additionally, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -20.97% compared to the Sensex's 2.20%, reinforcing the notion that it may be overvalued in the current market context.