Is Resgen overvalued or undervalued?

As of 19 September 2025, the valuation grade for Resgen has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios reveal a PE ratio of 24.65, an EV to EBIT of 16.91, and an EV to EBITDA of 12.98, which suggest that the stock is trading at a premium compared to its earnings and cash flow generation capabilities.
In comparison to peers, Resgen's PE ratio is lower than that of Larsen & Toubro, which stands at 32.64, but significantly higher than CG Power & Ind, which is at 122.68. This highlights that while Resgen may be less expensive than some peers, it is still positioned in the expensive range overall. Additionally, the company's recent stock performance has been notably weak, with a year-to-date return of -19.8%, contrasting sharply with the Sensex's positive return of 5.74% during the same period, further reinforcing the notion of overvaluation.