Is Pennar Industrie overvalued or undervalued?

As of 2 June 2025, the valuation grade for Pennar Industrie has moved from attractive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 27.86, an EV to EBITDA of 12.71, and a ROCE of 14.91%.
In comparison to its peers, Pennar Industrie’s PE ratio is significantly lower than that of JSW Steel at 64.98 and Tata Steel at 51.92, both of which are valued attractively. Additionally, the PEG ratio of Pennar at 1.31 indicates a reasonable growth expectation compared to its peers. Notably, the company's stock has outperformed the Sensex with a year-to-date return of 29.19% against the Sensex's 5.63%, reinforcing the narrative of its current valuation status.