Is Hind.Composites overvalued or undervalued?

As of 18 September 2025, the valuation grade for Hind.Composites has moved from attractive to very attractive, indicating a significant positive shift in its perceived value. The company is currently considered undervalued, supported by a PE ratio of 16.99, an EV to EBITDA of 11.19, and a PEG ratio of 0.64, all of which suggest that the stock is trading at a favorable valuation compared to its earnings growth potential.
In comparison to its peers, Hind.Composites stands out with its attractive valuation metrics, especially when juxtaposed with Bosch, which has a PE ratio of 53.11, and Samvardhana Motherson, with a PE ratio of 33.65. The company's lower EV to Capital Employed of 0.64 further emphasizes its undervaluation relative to the industry. Despite recent stock performance lagging behind the Sensex, particularly in the one-year and year-to-date periods, the long-term outlook remains promising, bolstered by its competitive valuation metrics.