Is L T Foods overvalued or undervalued?

As of 28 July 2025, the valuation grade for L T Foods has moved from attractive to very attractive, indicating a positive shift in its market perception. The company is currently considered undervalued, supported by a PE ratio of 26.84, an EV to EBITDA of 17.72, and a ROCE of 15.95%. In comparison to peers, Kajaria Ceramics is deemed expensive with a PE ratio of 54.74, while Cera Sanitary is rated attractive with a PE of 34.26, further highlighting L T Foods' favorable position in the market.
The company's strong performance is also reflected in its stock returns, with a remarkable 66.66% increase over the past year, significantly outperforming the Sensex, which saw a decline of 0.54% in the same period. This performance, coupled with its attractive valuation metrics, reinforces the conclusion that L T Foods is undervalued relative to its peers and the broader market.