Is Transpek Inds. overvalued or undervalued?

As of 9 July 2025, the valuation grade for Transpek Industries has moved from very expensive to expensive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 18.77, an EV to EBITDA of 9.25, and a PEG ratio of 0.72, which suggest that while the company has some attractive growth potential, its current price does not reflect a compelling investment opportunity.
In comparison to its peers, Transpek's valuation is notably higher than that of Godrej Industries, which has a PE ratio of 39.26 and is rated as attractive, while other competitors such as Solar Industries and Gujarat Fluorochemicals are categorized as very expensive with significantly higher PE ratios of 123.39 and 69.05, respectively. Given the recent stock performance, Transpek's returns have lagged behind the Sensex over the past year, indicating potential concerns about its valuation sustainability.