Is Roni Households overvalued or undervalued?

As of 26 August 2025, Roni Households has moved from a valuation grade of very expensive to expensive. The company is currently considered overvalued based on its high valuation ratios, including a PE ratio of 61.49, an EV to EBIT of 65.08, and an EV to EBITDA of 46.16. These metrics indicate that the stock is trading at a significant premium compared to its earnings and cash flow generation capabilities.
In comparison to its peers, Roni Households' PE ratio is substantially higher than that of Lloyds Enterprises, which stands at 38.98, and PTC India, which is valued attractively at 8.53. The PEG ratio for Roni is notably 0.00, suggesting no growth expectations are priced in, which is unusual for a company with such a high PE ratio. While Roni Households has outperformed the Sensex over the past year with a return of 88.95% compared to the Sensex's -1.12%, the current valuation metrics suggest that investors should approach this stock with caution.