Is Goel Food overvalued or undervalued?

As of 14 November 2025, Goel Food's valuation grade has moved from attractive to fair, indicating a shift in its perceived investment quality. The company is currently fairly valued, with a PE ratio of 5.59, an EV to EBIT of 6.63, and a ROE of 22.79%. In comparison to its peers, Goel Food's valuation metrics are significantly lower; for instance, Hindustan Unilever has a PE ratio of 53.87, while Nestle India stands at 81.83, both categorized as very expensive.
Despite the fair valuation, Goel Food has underperformed in the market, with a year-to-date return of -23.51%, contrasting sharply with the Sensex's gain of 8.22% during the same period. This underperformance, coupled with its relatively low valuation ratios compared to peers, suggests that while the stock may not be undervalued, it is not positioned as a strong investment opportunity at this time.