Is Mono Pharmacare overvalued or undervalued?

As of 17 September 2025, the valuation grade for Mono Pharmacare has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued. Key financial ratios include a PE ratio of 13.69, an EV to EBITDA of 12.47, and a PEG ratio of 0.51, which suggest that the stock is reasonably priced relative to its earnings growth potential.
When compared to its peers, Mono Pharmacare's valuation stands out against Sun Pharma, which has a significantly higher PE ratio of 33.91, and Divi's Lab, which is valued at 69.72. Other peers like Dr. Reddy's Labs and Cipla are also attractive with PE ratios of 19.28 and 23.36, respectively. Despite a recent decline in stock performance, with a year-to-date return of -30.88% compared to the Sensex's 7.13%, the current valuation metrics suggest that Mono Pharmacare presents a more appealing investment opportunity within the pharmaceutical sector.