Is Shri Vasuprada overvalued or undervalued?

As of 6 August 2025, the valuation grade for Shri Vasuprada has moved from risky to does not qualify, indicating a significant shift in its investment profile. The company appears to be overvalued, with a PE ratio of 96.89, an EV to EBIT of 66.38, and a negative ROE of -2.02%. In comparison, peers such as CCL Products, which has a PE ratio of 36.92 and is rated as attractive, and Vintage Coffee, rated fair with a PE of 37.18, highlight the disparity in valuation metrics.
Despite a recent stock performance that outpaced the Sensex over the past year, with a return of 26.83% compared to the Sensex's 2.48%, the underlying financial ratios suggest that Shri Vasuprada is not justified at its current price of 116.95. The company's high valuation ratios, particularly the PE and EV to EBIT, indicate that it may be overvalued relative to its peers and overall market conditions.