Is Kilitch Drugs overvalued or undervalued?

As of 14 October 2025, the valuation grade for Kilitch Drugs has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 22.25, an EV to EBITDA of 18.76, and a PEG ratio of 0.21, indicating strong growth potential relative to its price.
In comparison to its peers, Kilitch Drugs holds a favorable position; for instance, Sun Pharma has a significantly higher PE ratio of 34.56, while Dr. Reddy's Labs, which is very attractive, has a lower PE of 18.18. Furthermore, Kilitch's ROCE stands at 14.54% and ROE at 13.01%, which are competitive within the industry. The stock has outperformed the Sensex over the past three years, with a return of 104.74% compared to the Sensex's 41.63%, reinforcing its valuation story.