Is Resgen overvalued or undervalued?

As of 22 September 2025, the valuation grade for Resgen has moved from expensive to fair, indicating a reassessment of its market position. The company is currently fairly valued, with a PE ratio of 24.39, an EV to EBITDA ratio of 12.84, and a ROCE of 19.52%. In comparison to peers, Larsen & Toubro has a higher PE ratio of 32.36 and an EV to EBITDA of 16.84, while CG Power & Industries is categorized as very expensive with a staggering PE ratio of 121.08.
Despite the fair valuation, Resgen's stock has underperformed in the long term, with a year-to-date return of -20.48% compared to a 5.15% gain in the Sensex. This suggests that while the current valuation may be justified, the market sentiment towards Resgen remains cautious, reflecting broader challenges in the oil industry.