Is Mrs Bectors overvalued or undervalued?

As of 4 September 2025, the valuation grade for Mrs Bectors has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently overvalued, with a PE ratio of 66.01, a Price to Book Value of 7.86, and an EV to EBITDA ratio of 36.62. These ratios suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison with peers, Mrs Bectors' PE ratio is higher than Hindustan Unilever's 58.87 and Britannia Industries' 66.97, both of which are also classified as very expensive. The PEG ratio of Mrs Bectors is notably at 0.00, which raises concerns about growth expectations relative to its valuation. Additionally, while Mrs Bectors has shown strong returns over the past three years at 329.89%, its year-to-date performance is down 9.53%, contrasting with a positive 3.30% return from the Sensex, further reinforcing the notion of overvaluation.