Is Inv.& Prec.Cast. overvalued or undervalued?

As of 3 September 2025, the valuation grade for Inv. & Prec. Cast. has moved from fair to expensive. The company is currently overvalued, with a PE ratio of 77.92, a Price to Book Value of 5.11, and an EV to EBITDA of 23.99. In comparison to its peers, Bharat Forge, which is rated fair, has a PE ratio of 52.93 and an EV to EBITDA of 22.22, while CIE Automotive, rated very attractive, shows a significantly lower PE ratio of 19.32 and an EV to EBITDA of 11.40.
The company's financial metrics indicate a concerning valuation, especially when juxtaposed with its peers. Despite a strong historical performance over the long term, recent stock returns have lagged behind the Sensex, particularly in the one-year period where Inv. & Prec. Cast. has declined by 9.96% compared to a 2.41% drop in the Sensex. This reinforces the notion that the stock may be overvalued at its current price of 465.95.