Is Grob Tea Co overvalued or undervalued?

As of 23 September 2025, Grob Tea Co's valuation grade has moved from fair to expensive, indicating a shift in its market perception. The company is currently considered overvalued based on its financial ratios, with a PE Ratio of 20.09, Price to Book Value of 1.44, and an EV to EBITDA of 27.32. These figures suggest that investors are paying a premium for the company's earnings relative to its peers.
In comparison to its industry, Grob Tea Co's PE Ratio is lower than that of Tata Consumer, which stands at 84.78, but higher than CCL Products, which is rated attractive with a PE of 38.56. Additionally, the PEG Ratio of 0.16 indicates that Grob Tea Co is relatively undervalued in terms of growth compared to its earnings, yet the overall valuation suggests it is overvalued. Notably, while Grob Tea Co has shown a positive return of 7.92% over the past year, it still lags behind the Sensex, which has increased by 6.45% during the same period, reinforcing the notion of its current overvaluation.