Is Ruparel Food overvalued or undervalued?

As of 19 September 2025, Ruparel Food's valuation grade has moved from very expensive to risky, indicating a significant shift in its perceived value. The company is currently overvalued, as evidenced by its negative PE ratio of -58.87 and an EV to EBIT ratio of -58.28. Additionally, its Price to Book Value stands at 12.09, which is considerably high compared to industry norms.
In comparison to its peers, Ruparel Food's valuation metrics are starkly unfavorable. For instance, HUDCO has a PE ratio of 16.48, while LIC Housing Finance boasts a much lower PE of 5.92, both indicating a more favorable valuation environment. Furthermore, Ruparel Food's negative ROE of -2.87% and ROCE of -3.04% highlight its struggles relative to peers. Despite a notable return of 2717.11% over the last five years, the recent performance shows a decline of 20.42% over the past year, contrasting sharply with the Sensex's slight drop of 0.67%, reinforcing the notion that Ruparel Food is currently overvalued.