Is RRIL overvalued or undervalued?

As of 9 September 2025, the valuation grade for RRIL has moved from fair to expensive, indicating that the company is overvalued. Key ratios highlight this assessment, with a PE ratio of 29.87, an EV to EBITDA of 24.63, and a PEG ratio of 0.67. Comparatively, peers such as Elitecon International and Lloyds Enterprises are also categorized as very expensive, with PE ratios of 525.99 and 38.79, respectively, further supporting the notion that RRIL is not a favorable investment at its current valuation.
In terms of performance, RRIL's stock has shown a year-to-date decline of 10.57%, while the Sensex has gained 3.79% in the same period, reinforcing the view that RRIL's valuation may not be justified given its underperformance relative to the broader market. Overall, RRIL appears to be overvalued based on its current financial metrics and peer comparisons.