Is Poona Dal & Oil overvalued or undervalued?

As of 6 October 2025, the valuation grade for Poona Dal & Oil has moved from very expensive to expensive, indicating a slight improvement in perceived value. However, the company is still considered overvalued based on its current metrics. The PE ratio stands at 34.23, while the EV to EBIT and EV to EBITDA ratios are both at 4.82, suggesting that the company is trading at a premium compared to its earnings.
In comparison to peers, Poona Dal & Oil's valuation appears high, particularly when contrasted with PTC India, which is rated very attractive with a PE ratio of 7.97, and D.P. Abhushan, which has a PE ratio of 26.77 and is rated fair. Despite a year-to-date return of 8.03%, which outperformed the Sensex's 4.67%, the overall valuation metrics suggest that Poona Dal & Oil remains overvalued in the current market environment.