Is Strides Pharma overvalued or undervalued?

As of 9 September 2025, Strides Pharma's valuation grade has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently considered undervalued, especially when compared to its peers. Key ratios include a PE ratio of 21.45, an EV to EBITDA of 11.72, and a ROE of 26.67%. In comparison to its peers, Strides Pharma's valuation stands out; for instance, Sun Pharma has a PE ratio of 33.36, and Divi's Lab is at 69.19, both categorizing them as expensive. This suggests that Strides Pharma offers a more favorable investment opportunity relative to its competitors. Additionally, while Strides Pharma has outperformed the Sensex significantly over the past year with a return of 37.86% compared to the Sensex's -0.56%, it reinforces the notion that the stock is undervalued in the current market.