Is Indo National overvalued or undervalued?

As of 31 January 2025, the valuation grade for Indo National has moved from very attractive to risky, indicating a significant shift in its perceived investment quality. The company is currently assessed as overvalued. Key ratios include a PE ratio of 3.03, an EV to EBITDA of -17.06, and a ROE of 28.25%.
In comparison to its peers, Indo National's valuation stands out unfavorably; for instance, Exide Industries has a PE ratio of 42.02, while Amara Raja Energy boasts a PE of 21.19, highlighting the stark contrast in valuation metrics. Furthermore, Indo National's recent stock performance has lagged behind the Sensex, with a year-to-date return of -6.87% compared to the Sensex's 5.64%, reinforcing the notion that the stock may not be a favorable investment at its current price of 506.35.