Is Metal Coatings overvalued or undervalued?

As of 20 October 2025, the valuation grade for Metal Coatings has moved from fair to attractive, indicating a positive shift in its market perception. The company is currently assessed as undervalued based on its financial metrics. Key ratios include a PE ratio of 22.32, an EV to EBITDA of 8.88, and a Price to Book Value of 1.17, which suggest that the company's stock is trading at a reasonable valuation compared to its earnings and asset value.
In comparison to its peers, Metal Coatings stands out with a more attractive valuation than JSW Steel, which has a PE ratio of 45.67, and Tata Steel at 44.22. Additionally, the PEG ratio of Metal Coatings is notably low at 0.00, further supporting the undervaluation thesis. While the company's recent stock performance has lagged behind the Sensex, particularly with a year-to-date return of -23.07% compared to the Sensex's 7.97%, the overall valuation metrics suggest that it presents a compelling investment opportunity in the current market landscape.