Is Vital Chemtech overvalued or undervalued?

As of 17 September 2025, the valuation grade for Vital Chemtech has moved from very expensive to expensive, indicating a slight improvement in its valuation perception. The company is currently considered overvalued. Key ratios include a PE ratio of 30.78, an EV to EBITDA of 20.24, and a PEG ratio of 2.03, which suggest that the stock is priced higher relative to its earnings growth potential compared to its peers.
In comparison to its industry peers, Vital Chemtech's PE ratio is significantly lower than Solar Industries, which stands at 106.01, and higher than Godrej Industries, which has a PE of 40.66. This places Vital Chemtech in a relatively expensive position within its sector. Additionally, while the company's recent stock performance has outpaced the Sensex over the past week and month, it has underperformed significantly on a year-to-date basis, declining by 20.35% compared to the Sensex's 7.13% gain.