Is Sudal Industries overvalued or undervalued?

As of 3 July 2025, Sudal Industries' valuation grade has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a PE ratio of 10.55, an EV to EBITDA ratio of 6.50, and a ROE of 26.28%. In comparison to its peers, Hindalco Industries, which is rated very attractive, has a lower PE ratio of 9.37, while National Aluminium, rated attractive, has a PE of 6.7.
Despite the fair valuation, Sudal Industries has shown strong performance in recent periods, with a year-to-date return of 36.18% compared to the Sensex's 6.53%. This suggests that while the stock is fairly valued, it has outperformed the broader market, reflecting investor confidence in its growth potential.