Is Garg Furnace overvalued or undervalued?

As of 17 November 2025, Garg Furnace's valuation grade has moved from fair to attractive, indicating a positive shift in its market perception. The company is currently considered undervalued, with a price-to-earnings (PE) ratio of 8.53, a price-to-book value of 1.28, and an EV to EBITDA ratio of 7.29. These metrics suggest that Garg Furnace is trading at a significant discount compared to its peers.
In comparison with industry competitors, Garg Furnace's PE ratio is substantially lower than that of JSW Steel, which stands at 46.87, and Jindal Steel at 27.76. Additionally, Tata Steel, which is also rated attractive, has a PE of 29.08. The PEG ratio for Garg Furnace is notably low at 0.52, further reinforcing its undervalued status. Despite recent stock performance lagging behind the Sensex, particularly with a year-to-date decline of 45.66% versus the Sensex's gain of 8.72%, the long-term outlook remains promising, especially given the company's impressive 10-year return of 1236.36%.