Is Oriental Aromat. overvalued or undervalued?

As of 18 November 2025, the valuation grade for Oriental Aromatics has moved from fair to attractive, indicating a more favorable assessment of the company's worth. The company is currently considered undervalued, especially when compared to its peers. Notable ratios include a PE ratio of 116.47, an EV to EBITDA of 19.92, and a Price to Book Value of 1.72.
In comparison to peers, Oriental Aromatics has a significantly higher PE ratio than Godrej Industries, which stands at 37.03, and a much lower EV to EBITDA than Solar Industries at 58.00. This suggests that while Oriental Aromatics appears expensive on a standalone basis, its valuation may be more justified in the context of its growth potential. Additionally, despite a challenging year with a stock return of -37.10% compared to the Sensex's 9.48%, the recent grade change reflects a more optimistic outlook for the company's future performance.