Is Ruchi Infrastr. overvalued or undervalued?

As of 31 October 2025, Ruchi Infrastructure's valuation grade has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE Ratio of 22.28, an EV to EBITDA of 13.04, and a Price to Book Value of 0.90, which suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Ruchi Infrastructure's PE Ratio is higher than Gokul Agro's 19.25 and Guj. Ambuja's 20.34, both of which are also classified as expensive but offer lower valuations. Additionally, the company's Return on Capital Employed (ROCE) stands at a mere 1.03%, which is significantly lower than many of its peers, further supporting the conclusion of overvaluation. Despite a recent uptick in stock price, the year-to-date return of -34.79% starkly contrasts with the Sensex's positive return of 7.42%, reinforcing concerns about the company's current valuation.