Is Gokaldas Exports overvalued or undervalued?

As of 1 September 2025, Gokaldas Exports has moved from an expensive to a very expensive valuation grade. The company is currently overvalued, with a PE ratio of 29.50, an EV to EBIT of 20.25, and an EV to EBITDA of 13.03. These ratios indicate that the stock is trading at a premium compared to its earnings and cash flow generation capabilities.
In comparison to its peers, Gokaldas Exports' valuation stands out as particularly high, especially when contrasted with K P R Mill Ltd, which has a PE ratio of 40.91, and Trident, which is rated fair with a PE of 32.36. The PEG ratio of Gokaldas at 0.87 suggests that while the growth potential may be favorable, the current price does not justify the valuation when compared to peers. Additionally, the stock has underperformed relative to the Sensex, with a year-to-date return of -38.32% compared to the Sensex's 2.85%, further reinforcing the notion that the stock is overvalued at its current price of 698.00.