Is GP Petroleums overvalued or undervalued?

As of 17 November 2025, the valuation grade for GP Petroleums has moved from attractive to very attractive. The company is currently considered undervalued, with a PE ratio of 7.14, an EV to EBITDA ratio of 5.72, and a PEG ratio of 0.68. In comparison, peers such as Castrol India are deemed expensive with a PE ratio of 19.59, while Gulf Oil Lubricants, also very attractive, has a PE ratio of 15.99.
Despite the strong valuation metrics, GP Petroleums has faced significant stock price declines, with a year-to-date return of -30.37% compared to the Sensex's positive return of 8.72%. This divergence suggests that the market may not fully recognize the company's underlying value, reinforcing the conclusion that GP Petroleums is undervalued relative to its peers and financial performance.