Is Indian Phosphate overvalued or undervalued?
As of November 18, 2025, Indian Phosphate is considered overvalued with a PE ratio of 16.30, an EV to EBITDA of 10.24, and a Price to Book Value of 0.95, reflecting a shift from very attractive to expensive, especially when compared to peers like Solar Industries and Gujarat Fluoroch, while also underperforming the Sensex with a year-to-date return of -25.48%.
As of 18 November 2025, the valuation grade for Indian Phosphate has moved from very attractive to expensive, indicating a shift in market perception. The company is currently considered overvalued. Key ratios include a PE Ratio of 16.30, an EV to EBITDA of 10.24, and a Price to Book Value of 0.95, which suggest that the stock is trading at a premium compared to its intrinsic value.In comparison to its peers, Indian Phosphate's PE ratio is significantly lower than that of Solar Industries at 94.24 and Gujarat Fluoroch at 57.77, both categorized as very expensive. Additionally, while Godrej Industries is rated attractive with a PE of 37.03, Indian Phosphate's valuation does not reflect similar growth potential. The company's recent stock performance has been underwhelming, with a year-to-date return of -25.48% compared to a positive 9.58% return for the Sensex, further reinforcing the notion of overvaluation.
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