Is Som Distilleries overvalued or undervalued?

As of 13 June 2025, the valuation grade for Som Distilleries has moved from attractive to very attractive, indicating a strong positive shift in its market perception. The company is currently assessed as undervalued, with a PE ratio of 31.25, an EV to EBITDA of 18.80, and a ROCE of 16.72%. In comparison to its peers, Som Distilleries stands out favorably against Varun Beverages, which has a much higher PE ratio of 57.14, and United Spirits, with a PE of 64.9, both categorized as very expensive.
The company's performance has been impressive, with a year-to-date return of 47.25% compared to the Sensex's 3.81%, further reinforcing its undervaluation narrative. With a PEG ratio of 1.77, Som Distilleries presents a compelling investment opportunity relative to its peers, which are trading at significantly higher valuations.