Is Syncom Formul. overvalued or undervalued?

As of 9 September 2025, the valuation grade for Syncom Formulations has moved from very expensive to expensive, indicating a slight adjustment in its perceived value. The company appears to be overvalued at this time. Key ratios include a PE ratio of 28.03, an EV to EBITDA of 25.25, and a PEG ratio of 0.28, which suggests that while growth expectations may be high, the current price does not justify the valuation based on earnings growth.
In comparison to peers, Syncom Formulations has a higher PE ratio than Cipla, which stands at 23.28, but lower than Sun Pharma, which has a PE of 33.36. This places Syncom in a challenging position relative to its competitors, as it is priced higher than some while still being less than others in the same industry. Additionally, the stock has underperformed compared to the Sensex over the past year, with a return of -35.94% versus -0.56% for the index, further reinforcing the notion that it may be overvalued in the current market environment.