Is MRPL overvalued or undervalued?

As of 24 July 2025, MRPL's valuation grade has moved from fair to attractive, indicating a shift in its perceived value. The company is currently considered undervalued, especially when looking at its key financial ratios. Notably, MRPL has a PE ratio of -92.24, an EV to EBITDA of 21.24, and a Price to Book Value of 2.05, which suggests that despite its negative earnings, the market may not be fully appreciating its potential.
In comparison to its peers, MRPL stands out with a significantly lower PE ratio than Reliance Industries, which has a PE of 23.29, and ONGC, which has a PE of 8.48. While MRPL's EV to EBITDA ratio of 21.24 is higher than that of ONGC and I O C L, it is essential to consider the broader context of its valuation. Additionally, MRPL's recent stock performance has outpaced the Sensex in the short term, with a 1-week return of 2.99% compared to a slight decline in the Sensex. Overall, MRPL appears to be undervalued relative to its peers and its recent performance suggests potential for recovery.