Is JK Paper overvalued or undervalued?

As of 10 July 2025, the valuation grade for JK Paper has moved from attractive to very attractive, indicating a positive shift in its perceived value. The company is currently assessed as undervalued. Key ratios include a PE ratio of 16.33, an EV to EBITDA of 8.74, and a Price to Book Value of 1.24, which suggest that the stock is trading at a reasonable valuation compared to its earnings and book value.
In comparison to its peers, JK Paper's valuation stands out; for instance, West Coast Paper is considered expensive with a PE of 11.56 and an EV to EBITDA of 5.86, while Seshasayee Paper is also very expensive with a PE of 17.34 and an EV to EBITDA of 11.69. Despite recent underperformance against the Sensex on a one-year basis, where JK Paper returned -28.79% compared to the Sensex's 4.09%, its long-term performance over five years shows a significant gain of 289.35%, reinforcing its attractiveness as a long-term investment.