Is Mrs Bectors overvalued or undervalued?

As of 7 July 2025, the valuation grade for Mrs Bectors has moved from fair to expensive, indicating that the company is overvalued. The key ratios reflect this assessment, with a PE ratio of 60.50, an EV to EBITDA of 33.61, and a Price to Book Value of 7.77. These figures suggest that investors are paying a premium for the stock relative to its earnings and book value.
In comparison to its peers, Mrs Bectors stands out with a significantly higher PE ratio than Hindustan Unilever at 54.36 and Britannia Industries at 64.5, both of which are also categorized as expensive. The PEG ratio for Mrs Bectors is notably 0.00, which raises concerns about growth expectations. Despite a recent positive stock return of 2.66% over the past week, the longer-term performance shows a decline of 14.3% year-to-date, contrasting with the Sensex's gain of 6.79%. This further supports the conclusion that Mrs Bectors is currently overvalued in the market.