Is Ginni Filaments overvalued or undervalued?

As of 18 August 2025, the valuation grade for Ginni Filaments has moved from very expensive to expensive, indicating a shift in its perceived value. The company is currently considered overvalued based on its financial ratios. The PE ratio stands at 15.76, while the EV to EBITDA ratio is 10.83, and the PEG ratio is notably low at 0.14, suggesting that the stock may not be justifying its price relative to its growth potential.
When compared to peers, Ginni Filaments' valuation appears high, especially against K P R Mill Ltd, which has a PE ratio of 41.32, and Trident, which is rated fair with a PE of 32.92. Additionally, Ginni's return on equity (ROE) is 14.18%, which is respectable but does not significantly differentiate it from its peers. The stock has outperformed the Sensex over various periods, with a year-to-date return of 62.50% compared to the Sensex's 4.01%, but this strong performance may not be sustainable given its current valuation metrics.