Is TPL Plastech overvalued or undervalued?

As of 26 June 2025, TPL Plastech's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued based on its key financial ratios, including a PE ratio of 26.72, an EV to EBITDA of 16.54, and a Price to Book Value of 4.27. Compared to its peers, TPL Plastech's PE ratio is significantly lower than Supreme Industries at 57.66 and Astral at 77.95, but higher than Finolex Industries, which stands at 28.32.
Despite the recent stock performance showing a 3.50% return over the past week compared to the Sensex's 2.94%, the year-to-date return of -19.97% versus the Sensex's 7.19% suggests that TPL Plastech is struggling relative to the broader market. Overall, while the company has shown strong historical returns over the long term, its current valuation metrics indicate that it is overvalued in the context of its industry peers.