Is Lyka Labs overvalued or undervalued?

As of 8 September 2025, the valuation grade for Lyka Labs has moved from fair to attractive, indicating a more favorable assessment of its market position. The company is currently considered undervalued, particularly in comparison to its peers. Key ratios include a PE ratio of 47.18, an EV to EBITDA of 21.86, and a PEG ratio of 0.08, which suggests strong growth potential relative to its price.
When compared to peers, Lyka Labs stands out with a higher PE ratio than Sun Pharma (33.03) and a significantly lower PEG ratio than Divi's Lab (1.84), indicating that Lyka Labs may offer better value for growth. Despite recent stock performance lagging behind the Sensex, with a year-to-date decline of 37.50% compared to a 3.39% gain in the Sensex, the attractive valuation suggests potential for recovery and growth in the future.