Is Santosh Fin Fab overvalued or undervalued?

As of 20 October 2025, the valuation grade for Santosh Fin Fab has moved from risky to expensive, indicating a significant shift in perception. The company is currently deemed overvalued, with a PE ratio of 64.83, an EV to EBITDA of 14.44, and a ROE of 2.44%. In comparison, peers such as K P R Mill Ltd, which is classified as very expensive, has a PE ratio of 42.59, while Trident, rated as fair, has a PE ratio of 32.64, highlighting that Santosh Fin Fab's valuation is substantially higher than its peers.
Additionally, the company's recent stock performance shows a decline of 9.65% over the past year, contrasting with the Sensex's gain of 3.86%, further reinforcing the notion that the stock may be overvalued. Given the high valuation ratios and the underperformance relative to the market, Santosh Fin Fab appears to be an unattractive investment at its current price of 25.75.