Is Galaxy Bearings overvalued or undervalued?

As of 16 October 2025, Galaxy Bearings has moved from a fair to a very attractive valuation grade, indicating a significant improvement in its investment appeal. The company is currently assessed as undervalued, with a PE ratio of 18.91, an EV to EBITDA of 13.55, and a ROCE of 16.59%. In comparison to its peers, Galaxy Bearings stands out with a lower PE ratio than Schaeffler India (60.71) and Timken India (48.55), both classified as very expensive, while also being competitive against SKF India (20.96) and NRB Bearings (18.78), which are rated as very attractive and attractive, respectively.
Despite the recent underperformance of Galaxy Bearings' stock, which has declined by 42.77% over the past year compared to a modest 2.41% gain in the Sensex, the company's strong fundamentals suggest it is currently undervalued. The PEG ratio of 0.00 further emphasizes the potential for growth relative to its price, reinforcing the attractiveness of the stock at its current price of 772.65.