Is Munjal Auto Inds overvalued or undervalued?

As of 14 August 2025, Munjal Auto Inds has moved from an attractive to a very attractive valuation grade. The company is currently considered undervalued, with a PE ratio of 22.98, an EV to EBITDA of 8.34, and a dividend yield of 3.95%. In comparison to peers, Bosch is deemed expensive with a PE ratio of 51.28, while Samvardhana Motherson International is attractive with a PE of 28.77, highlighting Munjal's relative value in the market.
Despite recent stock performance showing a year-to-date decline of 22.09% compared to a 3.15% gain in the Sensex, the company's strong ratios and favorable valuation grade suggest it is positioned well for potential growth. With a ROE of 11.62% and an EV to Sales ratio of 0.47, Munjal Auto Inds presents a compelling investment opportunity within the auto components sector.