Is Vipul Organics overvalued or undervalued?

As of 14 May 2025, the valuation grade for Vipul Organics has moved from fair to expensive, indicating a shift in perception regarding its market value. The company appears to be overvalued, given its high PE ratio of 69.71, an EV to EBITDA of 24.26, and a PEG ratio of 3.74. These figures suggest that the stock is trading at a premium compared to its earnings growth potential.
In comparison to its peers, Vipul Organics' PE ratio is slightly lower than Sudarshan Chemicals at 71.32 but significantly higher than Kiri Industries, which has a PE of 13.72. Additionally, while Ultramarine Pigments has a more attractive valuation with an EV to EBITDA of 12.89, Vipul's ratios indicate that it is not justified at its current price level. Notably, despite a strong one-month return of 44.89%, the year-to-date performance shows a decline of 10.57%, which further underscores the concerns regarding its current valuation.