Is MCON Rasayan overvalued or undervalued?

As of 18 September 2025, MCON Rasayan's valuation grade has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued based on its PE ratio of 24.22, an EV to EBITDA of 12.49, and a Price to Book Value of 1.66. In comparison to its peers, Asian Paints has a significantly higher PE ratio of 61.74, while Berger Paints is rated fair with a PE of 53.42, highlighting that MCON Rasayan's valuation is not justified given its performance metrics.
The company's recent stock performance has been notably poor, with a year-to-date return of -64.24%, contrasting sharply with the Sensex's positive return of 7.52% during the same period. This further reinforces the conclusion that MCON Rasayan is overvalued in the current market environment.