Is Globus Spirits overvalued or undervalued?

As of 21 May 2025, the valuation grade for Globus Spirits has moved from attractive to very attractive, indicating a strong positive shift in its perceived value. The company is currently considered undervalued. Key ratios include a PE ratio of 123.17, an EV to EBITDA of 22.15, and a PEG ratio of 0.00, which suggests that the stock may be undervalued relative to its growth prospects.
In comparison to its peers, Globus Spirits stands out with a significantly higher PE ratio than Varun Beverages at 57.96 and United Spirits at 71.43, both categorized as very expensive. Despite this high PE ratio, Globus's PEG ratio of 0.00 indicates a lack of growth expectations priced into the stock, further supporting the undervaluation thesis. Additionally, the company's recent stock performance has outpaced the Sensex, with a 1-year return of 34.37% compared to the Sensex's 7.65%, reinforcing the notion that the market may not fully recognize its value.