Is Sonalis Consumer overvalued or undervalued?

As of 10 September 2025, the valuation grade for Sonalis Consumer has moved from expensive to very attractive, indicating a significant improvement in its perceived value. The company is currently assessed as undervalued, especially when compared to its peers in the FMCG sector. Key ratios include a PE ratio of 11.20, an EV to EBIT of 8.34, and a remarkable ROCE of 42.54%.
In comparison to notable peers, Sonalis Consumer's PE ratio is substantially lower than Hindustan Unilever's 58.37 and Nestle India's 78, both of which are classified as very expensive. Additionally, the EV to EBITDA ratio of 8.29 further emphasizes its attractive valuation relative to the industry. Despite recent stock performance trailing the Sensex, with a year-to-date return of -9.21% compared to the Sensex's 4.21%, the underlying fundamentals suggest that Sonalis Consumer presents a compelling investment opportunity at its current price of 62.50.