Current Valuation Metrics
Praj Industries trades at a price-to-earnings (PE) ratio of approximately 56.2, which remains elevated compared to many industrial peers but has moderated enough to warrant a "fair" valuation grade. The price-to-book (P/B) value stands at 4.56, indicating investors are paying a premium over the company’s net asset value. Enterprise value (EV) multiples such as EV to EBIT and EV to EBITDA are 42.2 and 24.6 respectively, reflecting a relatively high valuation in terms of operating earnings. However, the EV to capital employed ratio of 5.14 and EV to sales of 1.80 suggest a more balanced valuation when considering the company’s capital base and revenue generation.
Return metrics provide further insight. Praj’s latest return on capital employed (R...
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