Is Indong Tea Co overvalued or undervalued?

As of 2 July 2025, the valuation grade for Indong Tea Co has moved from fair to attractive, indicating a more favorable outlook for the company. Based on the analysis, Indong Tea Co appears to be undervalued. The company has a PE ratio of 26.80, an EV to EBITDA ratio of 12.27, and a PEG ratio of 0.23, which suggests that it is trading at a lower valuation compared to its growth potential.
In comparison to its peers, Indong Tea Co's PE ratio is significantly lower than that of Tata Consumer, which stands at 84.53, indicating that Tata Consumer is very expensive relative to its earnings. Additionally, CCL Products, which is rated very attractive, has a PE ratio of 37.22, further highlighting Indong Tea Co's relative undervaluation. Notably, the company's stock has underperformed against the Sensex, with a year-to-date return of -54.3%, which reinforces the perception that it may be undervalued in the current market environment.