Is Greenchef Appli. overvalued or undervalued?

As of 26 August 2025, the valuation grade for Greenchef Appliances has moved from attractive to expensive, indicating a shift in perception regarding its market value. The company is currently deemed overvalued based on its financial metrics, with a PE ratio of 24.25, an EV to EBITDA of 15.36, and a PEG ratio of 1.05. These ratios suggest that the stock is priced higher relative to its earnings and growth potential compared to its peers.
In comparison, Whirlpool India, which is rated attractive, has a significantly higher PE ratio of 45.87 and an EV to EBITDA of 25.10, while IFB Industries, also attractive, shows a PE of 54.81 and an EV to EBITDA of 20.54. These comparisons highlight that Greenchef Appliances is trading at a premium despite its lower return on equity of 5.19% and return on capital employed of 6.23%. Additionally, the company's stock has underperformed the Sensex, with a year-to-date return of -21.42% compared to the Sensex's 4.51%, reinforcing the notion that it may be overvalued in the current market environment.