Is Gopal Snacks overvalued or undervalued?

As of 5 September 2025, Gopal Snacks has moved from a valuation grade of very expensive to fair. The company is currently fairly valued, with a PE ratio of 102.05, an EV to EBITDA ratio of 57.68, and a ROCE of 26.92%. In comparison to its peers, Gopal Snacks has a significantly higher PE ratio than Hindustan Unilever at 58.11 and Nestle India at 77.49, both of which are categorized as very expensive.
Despite being fairly valued, Gopal Snacks has shown a decline in stock performance relative to the Sensex, with a year-to-date return of -1.4% compared to the Sensex's 3.29%. This suggests that while the valuation is more reasonable now, investor sentiment may still be cautious, potentially due to the high PE ratio in relation to its peers.