Is G M Breweries overvalued or undervalued?

As of 17 November 2025, G M Breweries has moved from a valuation grade of very expensive to expensive. The company is currently considered overvalued. Key ratios include a PE Ratio of 18.41, an EV to EBIT of 19.47, and a Price to Book Value of 2.68. In comparison to its peers, Varun Beverages and United Spirits are both categorized as very expensive, with PE Ratios of 52.58 and 60.83, respectively, indicating that G M Breweries is relatively more attractively priced within this context.
Despite its overvaluation status, G M Breweries has shown strong performance, with a year-to-date return of 42.21%, significantly outpacing the Sensex's 8.72% during the same period. This performance may suggest that while the stock is currently overvalued based on its ratios, market sentiment has been favorable, contributing to its robust returns.