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 appears to be fairly valued based on its current metrics, with a PE ratio of 188.87, an EV to EBITDA of 22.71, and a Price to Book Value of 3.40. These ratios suggest that while the company is not undervalued, it is also not excessively priced compared to its peers.
In comparison to its industry peers, The Ramco Cement's PE ratio is significantly higher than that of Grasim Industries, which stands at 44.86, and much higher than ACC's attractive valuation with a PE of 14.78. The Ramco Cement's PEG ratio is notably at 0.00, indicating no growth expectations priced in, which could be a point of concern. Despite recent fluctuations, the stock has outperformed the Sensex over the past year, with a return of 26.22% compared to the Sensex's decline of 1.81%. Overall, The Ramco Cement is fairly valued in the current market context.