Is Siddhika Coatins overvalued or undervalued?

As of 11 July 2025, the valuation grade for Siddhika Coatins has moved from fair to very attractive, indicating a significant improvement in its perceived value. The company is currently considered undervalued based on its strong financial metrics, including a PE ratio of 14.89, an EV to EBIT of 10.85, and a PEG ratio of 0.18, which suggests that the stock is trading at a reasonable price relative to its growth potential.
When compared to peers, Siddhika Coatins stands out favorably against Sudarshan Chemicals, which is deemed expensive with a PE ratio of 74.29, and Kiri Industries, which has a PE of 12.21 but is classified as risky. Additionally, Siddhika's return on equity (ROE) of 22.18% and return on capital employed (ROCE) of 53.95% further reinforce its strong operational performance. Notably, the company's stock has outperformed the Sensex over the past year, with a return of 32.08% compared to the Sensex's 3.43%, highlighting its attractive investment potential.