Is Indian Phosphate overvalued or undervalued?

As of 29 September 2025, the valuation grade for Indian Phosphate has moved from expensive to very attractive, indicating a significant improvement in its valuation outlook. The company is currently assessed as undervalued. Key ratios include a PE ratio of 14.58, an EV to EBITDA of 7.92, and a Price to Book Value of 0.90, all of which suggest that the stock is trading at a discount compared to its intrinsic value.
In comparison to its peers, Indian Phosphate stands out with a much lower PE ratio than Solar Industries, which has a PE of 97.17, and Gujarat Fluoroch, with a PE of 64.99. This stark contrast highlights Indian Phosphate's potential for growth and value. Additionally, while the stock has underperformed against the Sensex over the past year with a return of -50.21% compared to the Sensex's -5.90%, its current valuation metrics suggest that it may present a compelling investment opportunity moving forward.