Is Rappid Valves overvalued or undervalued?

As of 10 September 2025, the valuation grade for Rappid Valves has moved from very expensive to fair, indicating a shift in its market perception. The company is currently fairly valued based on its financial ratios, with a PE ratio of 24.24, an EV to EBITDA of 14.65, and a ROCE of 20.69%.
In comparison to its peers, Rappid Valves' PE ratio is significantly lower than that of Larsen & Toubro, which has a PE of 31.55, suggesting that Rappid may be undervalued relative to this competitor. Other peers like CG Power & Ind are categorized as very expensive with a PE of 120.64, further reinforcing Rappid's fair valuation status. Notably, Rappid Valves has experienced a decline in stock performance over the past month, down 18.69%, while the Sensex has gained 2.50%, which may indicate market concerns that could affect future valuations.