Is West Coast Paper overvalued or undervalued?

As of 19 November 2025, the valuation grade for West Coast Paper has moved from expensive to very expensive. This indicates a significant shift in perception regarding the company's valuation, suggesting that it is currently overvalued. The company exhibits a PE ratio of 15.70, an EV to EBITDA of 5.68, and a Price to Book Value of 0.80, which, while not excessively high, are not compelling enough to justify its current valuation in light of its peers.
In comparison, JK Paper, which is rated as attractive, has a PE ratio of 21.09 and an EV to EBITDA of 9.04, while Seshasayee Paper, also very expensive, has a PE of 19.12 and an EV to EBITDA of 13.56. These peers highlight that West Coast Paper's valuation does not stand favorably against others in the industry. Additionally, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -23.02% compared to the Sensex's 9.02%, reinforcing the notion that West Coast Paper is overvalued at its current price of 428.00.