Is Kingfa Science overvalued or undervalued?

As of 20 August 2025, the valuation grade for Kingfa Science has moved from fair to expensive, indicating a shift in perception regarding its market valuation. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE Ratio of 36.25, an EV to EBITDA of 24.77, and a ROE of 21.08%.
In comparison to its peers, Kingfa Science's PE Ratio is significantly higher than that of Time Technoplast, which stands at 27.18, and Finolex Industries at 31.8, both of which are categorized as expensive. Additionally, Kingfa's PEG Ratio of 1.70 suggests that it may not be justified given its growth prospects relative to its price. Notably, Kingfa Science has outperformed the Sensex in various time frames, with a 1Y return of 29.24% compared to the Sensex's 1.31%, reinforcing the narrative of its current overvaluation.