Is Tirupati Forge overvalued or undervalued?

As of 10 October 2025, Tirupati Forge's valuation grade moved from expensive to fair, indicating a shift in its perceived value. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 74.45, an EV to EBITDA of 33.78, and a ROCE of 15.88%.
In comparison to its peers, Bharat Forge has a PE ratio of 56.9 and an EV to EBITDA of 23.77, while Ramkrishna Forgings shows a PE of 27.94 and an EV to EBITDA of 19.93, both suggesting that Tirupati Forge is positioned at a higher valuation level. Notably, while Tirupati Forge has underperformed year-to-date with a return of -31.55% compared to the Sensex's 6.94%, its strong historical performance over three years, with a return of 174.39%, reflects potential resilience in its business model.