Is The Ramco Cement overvalued or undervalued?

As of 5 September 2025, The Ramco Cement's valuation grade has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued, with a PE ratio of 188.87, an EV to EBITDA ratio of 22.71, and a Price to Book Value of 3.40. Compared to its peers, The Ramco Cement's valuation appears reasonable, especially when contrasted with UltraTech Cement, which is rated very expensive with a PE of 53.59, and Grasim Industries, which is attractive with a PE of 44.86.
In terms of performance, The Ramco Cement has shown a solid return of 26.22% over the past year, significantly outperforming the Sensex, which declined by 1.81% in the same period. This performance, along with its fair valuation, suggests that the stock may be a reasonable investment opportunity within the cement sector.