Valuation Metrics and Market Position
Emami currently trades at a price-to-earnings (PE) ratio of approximately 29.7, which places it in the expensive category compared to historical standards and many of its FMCG peers. Its price-to-book value stands at 7.64, signalling a significant premium over the company’s net asset value. The enterprise value to EBITDA ratio of 22.78 further confirms that the market is pricing Emami at a high multiple relative to its earnings before interest, tax, depreciation and amortisation.
These valuation multiples have contributed to the recent upgrade in Emami’s valuation grade from fair to expensive as of 25 November 2025. While the company’s dividend yield of 1.95% offers some income appeal, it is modest compared to other defensive stock...
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