Is Prima Plastics overvalued or undervalued?

As of 4 November 2025, Prima Plastics has moved from a valuation grade of very attractive to attractive, indicating a shift in its perceived value. The company is currently considered undervalued, with a PE ratio of 8.98, a Price to Book Value of 0.83, and an EV to EBITDA ratio of 7.70. These ratios suggest that Prima Plastics is trading at a discount compared to its peers. In comparison to its industry peers, Prima Plastics stands out with a significantly lower PE ratio than Supreme Industries and Astral, which have PE ratios of 58.2 and 81.51, respectively. Furthermore, its EV to EBITDA ratio of 7.70 is more favorable than the higher valuations of competitors like Finolex Industries, which has an EV to EBITDA of 26.96. Despite recent underperformance relative to the Sensex, with a year-to-date decline of 20.02% compared to the Sensex's gain of 6.81%, the fundamental metrics suggest that Prima Plastics remains an attractive investment opportunity.