Is Gallantt Ispat L overvalued or undervalued?

As of 4 November 2025, Gallantt Ispat L's valuation grade has moved from very expensive to expensive. The company appears to be overvalued based on its current metrics, with a PE ratio of 27.67, a Price to Book Value of 4.80, and an EV to EBITDA ratio of 18.05. In comparison to its peers, JSW Steel has a significantly higher PE ratio of 47.14, while Tata Steel is more reasonably valued with a PE of 46.11, indicating that Gallantt Ispat L is trading at a premium relative to some of its competitors.
The company's financial performance shows a ROCE of 21.64% and a ROE of 17.33%, which are strong indicators of profitability. However, when juxtaposed with the valuation metrics, it suggests that the stock may not justify its current price level. Additionally, Gallantt Ispat L has outperformed the Sensex significantly over the past year with a return of 71.08% compared to the Sensex's 5.94%, but this performance does not alter the conclusion that the stock is overvalued in the current market context.