Is Sacheta Metals overvalued or undervalued?

As of 10 November 2025, Sacheta Metals has moved from a very attractive to a fair valuation grade. The company is currently assessed as overvalued based on its financial metrics. Key ratios include a PE ratio of 25.46, an EV to EBITDA of 11.55, and a PEG ratio of 8.91, which are significantly higher compared to its peers. For instance, Hindalco Industries, categorized as very attractive, has a PE ratio of 9.85 and an EV to EBITDA of 2.92, indicating a more favorable valuation.
In comparison to other peers, Sacheta Metals' financial performance appears less compelling, with a return on equity (ROE) of 4.18% and a return on capital employed (ROCE) of 5.95%, which are lower than many of its competitors. The recent stock performance has also lagged behind the Sensex, with a year-to-date decline of 21.71% compared to a 6.91% gain in the index, reinforcing the overvaluation perspective.