Is Subam Papers overvalued or undervalued?

As of 10 October 2025, the valuation grade for Subam Papers has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently assessed as undervalued. Key ratios supporting this assessment include a PE ratio of 12.05, an EV to EBITDA ratio of 6.79, and a ROCE of 11.12%.
In comparison to peers, Subam Papers has a lower PE ratio than JK Paper, which stands at 20.27, and a more favorable EV to EBITDA ratio compared to West Coast Paper at 12.59. The attractive valuation of Subam Papers is further highlighted by its PEG ratio of 0.00, suggesting significant growth potential at its current price. Notably, the stock has underperformed the Sensex in the short term, with a 1-week return of -6.2% compared to the Sensex's 1.59%, reinforcing the notion that the stock may be undervalued relative to its fundamentals.