Is Rudra Gas overvalued or undervalued?

As of 31 October 2025, the valuation grade for Rudra Gas has moved from fair to expensive. The company is currently overvalued based on its financial ratios and peer comparisons. The PE ratio stands at 10.98, while the EV to EBITDA ratio is 7.22, and the PEG ratio is notably low at 0.27, indicating potential overvaluation despite a solid ROCE of 23.72% and ROE of 20.43%.
In comparison to its peers, Rudra Gas's valuation appears unfavorable. For instance, Ramco Industries, which is rated fair, has a PE ratio of 14.7, while Indian Hume Pipe, rated attractive, boasts a PE of 22.82. The recent stock performance shows that Rudra Gas has underperformed significantly over the past year, with a return of -44.48% compared to the Sensex's 5.73%, further reinforcing the conclusion that the stock is overvalued at its current price of 88.39.