Is Kothari Ferment. overvalued or undervalued?

As of 7 November 2025, Kothari Ferment. has moved from an attractive to a very attractive valuation grade. The company is currently considered undervalued, particularly in comparison to its peers. Key ratios include a PE ratio of -52.17, an EV to EBITDA of 11.09, and a Price to Book Value of 1.30, which indicate significant discrepancies when compared to competitors like Hindustan Unilever with a PE of 53.63 and Nestle India at 81.21.
Despite the negative sentiment reflected in its stock performance, Kothari Ferment. presents a compelling case for value investors. The company has shown a return of -49.88% over the past year, contrasting with the Sensex's 4.62% return, highlighting the potential for recovery as the market reassesses its valuation. Overall, Kothari Ferment. stands out as a potential investment opportunity within the FMCG sector.