Is Prakash Industri overvalued or undervalued?

As of 14 November 2025, the valuation grade for Prakash Industri has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently undervalued, with a PE ratio of 7.38, a Price to Book Value of 0.79, and an EV to EBITDA of 5.30. These ratios suggest that Prakash Industri is trading at a discount compared to its intrinsic value.
In comparison to its peers, Prakash Industri's valuation metrics stand out favorably; for instance, JSW Steel has a PE ratio of 46.61 and Tata Steel has a PE of 29.2, both of which are considerably higher than Prakash's. Additionally, the company's ROCE of 10.86% and ROE of 10.74% further reinforce its strong operational performance relative to the industry. Despite recent underperformance against the Sensex, with a 1-year stock return of -13.46% compared to the Sensex's 9.00%, the long-term performance of 236.27% over 5 years suggests a strong potential for recovery and growth.