Is Rungta Irrigatn. overvalued or undervalued?

As of 1 October 2025, the valuation grade for Rungta Irrigation has moved from attractive to very attractive. The company is currently considered undervalued based on its strong financial ratios and favorable comparisons with peers. Key ratios include a PE ratio of 20.26, an EV to EBITDA of 13.37, and a PEG ratio of 0.74, indicating solid earnings growth potential relative to its price.
In comparison to its peers, Rungta Irrigation stands out favorably against companies like Supreme Industries, which has a PE ratio of 59.83 and an EV to EBITDA of 38.41, and Astral, with a PE of 76.45 and an EV to EBITDA of 40.01. These comparisons highlight Rungta's relative value in the market. Additionally, while the stock has underperformed year-to-date with a return of -17.97% compared to the Sensex's 3.64%, its long-term performance remains impressive, with a 5-year return of 532.73%.