Is Intl. Conveyors overvalued or undervalued?

As of 1 July 2025, the valuation grade for Intl. Conveyors has moved from expensive to very expensive, indicating a significant shift in its market perception. The company is currently considered overvalued. Key ratios reveal a PE ratio of 6.72, an EV to EBITDA of 23.22, and a PEG ratio of 0.14, which suggests that despite a low PE, the overall valuation metrics are not favorable when compared to its peers.
In terms of peer comparison, Intl. Conveyors stands out with a PE ratio significantly lower than that of Rail Vikas at 64.38 and Tube Investments at 88.29, both of which are also categorized as very expensive. However, the high EV to EBITDA ratio of 23.22 raises concerns about its valuation sustainability. Notably, the company has outperformed the Sensex in recent periods, with a year-to-date return of 16.08% compared to the Sensex's 7.11%, which may reflect investor optimism despite the overvaluation.