Is Innova Captab overvalued or undervalued?

As of 1 July 2025, the valuation grade for Innova Captab has moved from fair to attractive, indicating a more favorable assessment of the company's worth. The company is currently deemed undervalued, with a PE ratio of 37.59, an EV to EBITDA ratio of 27.35, and a PEG ratio of 1.05. These metrics suggest that while the stock is trading at a premium relative to its earnings, it is still positioned well compared to its peers.
Innova Captab's valuation stands in contrast to competitors such as Sun Pharma, which is considered expensive with a PE ratio of 34.98, and Cipla, which is also attractive but significantly lower at a PE of 23.21. The company's return over the past year at 68.99% significantly outpaces the Sensex return of 5.31%, reinforcing the notion that Innova Captab is currently undervalued in the market.