Is Keerthi Indus overvalued or undervalued?

As of 13 February 2023, the valuation grade for Keerthi Indus has moved from fair to risky, indicating a significant deterioration in its financial standing. The company is currently considered overvalued, with a PE ratio of -2.53, an EV to EBITDA of -6.35, and a ROE of -42.47%. These ratios highlight the company's struggles compared to its peers, such as UltraTech Cement with a PE of 52.27 and Grasim Industries at 43.9, both of which are performing significantly better.
The peer comparison further emphasizes Keerthi Indus's challenges, as it lags behind competitors in key metrics, suggesting a lack of profitability and efficiency. Additionally, the company's stock has underperformed the Sensex, particularly over the past year, with a return of -41.30% compared to the Sensex's 7.63%. This performance reinforces the notion that Keerthi Indus is currently overvalued in the market.