Is Heritage Foods overvalued or undervalued?

As of 16 October 2025, the valuation grade for Heritage Foods has moved from attractive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE Ratio of 26.35, an EV to EBITDA of 5.43, and a Price to Book Value of 0.43.
In comparison to its peers, Heritage Foods stands out with a PE Ratio that is significantly lower than Hindustan Unilever's 56.54 and Nestle India's 82.22, both of which are considered very expensive. Despite its fair valuation, Heritage Foods has underperformed the Sensex over the past year, with a stock return of -23.25% compared to the Sensex's 2.41%. This suggests that while the company is fairly valued, it may face challenges in regaining investor confidence in the near term.