Is PG Foils overvalued or undervalued?

As of 26 September 2025, the valuation grade for PG Foils has moved from attractive to very attractive. The company is currently undervalued, supported by a price-to-earnings (PE) ratio of 10.00, a price-to-book value of 0.65, and an EV to EBITDA ratio of 13.81. In comparison, Hindalco Industries has a PE ratio of 9.65 and National Aluminium has a PE ratio of 6.43, both of which indicate that PG Foils is trading at a premium relative to some peers.
Despite the attractive valuation metrics, PG Foils has faced challenges, reflected in its negative return on capital employed (ROCE) of -12.92%. The stock has underperformed the Sensex in recent periods, with a year-to-date return of -20.01% compared to the Sensex's 2.93%. However, its long-term performance remains strong, with a 5-year return of 161.55%, suggesting potential for recovery and growth.