Is Yash Chemex overvalued or undervalued?

As of 31 October 2025, Yash Chemex's valuation grade has moved from very attractive to attractive, indicating a shift in its perceived value. The company is currently considered overvalued based on its high PE ratio of 61.11 and EV to EBIT ratio of 99.53, which are significantly above industry norms. In contrast, its Price to Book Value stands at a low 0.27, suggesting some underlying asset value that is not fully reflected in its market price.
When compared to peers, Yash Chemex's valuation metrics are notably higher; for instance, Solar Industries has a PE of 99.81 and an EV to EBITDA of 61.42, while Godrej Industries, which is also rated attractive, has a much lower PE of 36.92 and an EV to EBITDA of 29.41. This disparity highlights that Yash Chemex may be trading at a premium relative to its peers. Additionally, the company's strong stock performance, with a year-to-date return of 105.84% compared to the Sensex's 7.42%, further complicates its valuation narrative, suggesting that market sentiment may be driving its price beyond fundamental values.