Is Kanoria Energy overvalued or undervalued?

As of 11 July 2025, the valuation grade for Kanoria Energy has moved from attractive to very attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued, with a PE ratio of 53.30, an EV to EBITDA of 16.43, and a Price to Book Value of 2.03. In comparison to its peers, Grasim Industries has a lower PE ratio of 47.16 and an EV to EBITDA of 12.35, while UltraTech Cement is deemed very expensive with a PE of 58.12 and an EV to EBITDA of 30.87.
Despite recent underperformance, with a year-to-date return of -34.38% compared to the Sensex's 5.58%, the valuation metrics suggest that Kanoria Energy presents a compelling investment opportunity. The company's PEG ratio stands at 0.00, indicating potential for growth at a reasonable price, further reinforcing its undervalued status in the current market.