Is India Gelatine overvalued or undervalued?

As of 31 October 2025, India Gelatine's valuation grade has moved from fair to attractive, indicating a positive shift in its market position. The company is currently considered undervalued, with a PE ratio of 11.87, an EV to EBITDA of 8.41, and a Price to Book Value of 1.35. These ratios suggest that the company is trading at a reasonable valuation compared to its earnings and asset base.
In comparison to peers, India Gelatine's PE ratio is significantly lower than that of Solar Industries, which stands at 99.81, and Gujarat Fluoroch at 66.08, both of which are categorized as very expensive. Additionally, Godrej Industries, another attractive peer, has a PE of 36.92, further emphasizing India Gelatine's relative undervaluation. Despite recent underperformance against the Sensex over the past year, where it returned -4.60% compared to the Sensex's 5.73%, the long-term performance of 240.63% over five years highlights its potential for growth.