Is Ranjeet Mechatr. overvalued or undervalued?

As of 4 November 2025, the valuation grade for Ranjeet Mechatr. has moved from risky to very expensive. This indicates a significant shift in the company's perceived value, suggesting that it is currently overvalued. The key ratios highlight this concern, with a PE ratio of 33.73, an EV to EBIT of 19.46, and an EV to EBITDA of 18.56, all of which are elevated compared to industry norms.
In comparison to its peers, Ranjeet Mechatr. stands out with a PE ratio significantly higher than that of Lloyds Enterprises at 31.41 and PTC India at 7.95, both of which are more attractively valued. The PEG ratio of 0.41 also suggests that the growth expectations are not aligned with the current price, further reinforcing the overvaluation narrative. While Ranjeet Mechatr. has shown impressive returns over the past year, outperforming the Sensex with a 242.67% return compared to the Sensex's 5.94%, this does not mitigate the concerns regarding its current valuation.