Is Fine Organic Industries Overvalued or Undervalued Right Now?

September 1, 2026
Posted by: Kunal Singla
Category: Market

Fine Organic Industries CMP Rs 5,264.50 (31 Aug 2026), down 0.34%. PE 36.92 vs industry PE 37.87. ROE 15.65%. 52W range Rs 3,856.00 to Rs 5,407.00.

Quick Answer

Fine Organic Industries trades at a price to earnings ratio of 36.92 against an industry average of 37.87, which puts the stock close to fair value on a simple multiple basis rather than clearly overvalued or undervalued. The company’s 15.65% return on equity and Rs 869.06 book value per share fit broadly within its sector’s range. Whether Fine Organic Industries is overvalued or undervalued right now is less about a wide valuation gap and more about how its growth and margins evolve from here.

Is Fine Organic Industries overvalued or undervalued right now is a question worth asking given how its price to earnings ratio compares with the rest of its sector. At the current market price of Rs 5,264.50, the stock trades roughly 2.6% below its 52 week high of Rs 5,407.00 and about 36.5% above its 52 week low of Rs 3,856.00.

Fine Organic Industries’s share price moved down 0.34% in Monday’s session to Rs 5,264.50, against a market capitalisation of Rs 16,175 Cr. This article looks at the numbers, the PE ratio, price to book, return on equity, debt levels and recent earnings trends, that determine whether the current price reflects fair value or a stretched multiple.

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Table of Contents

Fine Organic Industries Valuation Metrics: Where Does the Stock Stand?

Valuation Metric	Fine Organic Industries
CMP (31 Aug 2026)	Rs 5,264.50
Market Cap	Rs 16,175 Cr
P/E Ratio	36.92
Industry P/E	37.87
P/B Ratio	6.07
Sector Average P/B (specialty chemicals)	4.62
Return on Equity (ROE)	15.65%
Sector Average ROE (specialty chemicals)	5.52%
EPS (TTM)	Rs 142.89
Book Value per Share	Rs 869.06
Debt to Equity	0.03
Dividend Yield	0.21%
Sector Average Dividend Yield (specialty chemicals)	0.49%
52 Week High / Low	Rs 5,407.00 / Rs 3,856.00

The headline number here is the price to earnings ratio. At 36.92, the Fine Organic Industries PE ratio is 0.97 times the industry average of 37.87. Measured against its specialty chemicals sector peers, the gap widens further on other measures too: a P/B of 6.07 against a sector average of 4.62, and an ROE of 15.65% against a sector average of 5.52%.

Is Fine Organic Industries Overvalued Based on Its P/E Ratio?

Based on the P/E ratio alone, Fine Organic Industries looks fairly valued. The stock’s PE of 36.92 sits close to the industry average of 37.87, which suggests the market is pricing the business roughly in line with its sector rather than at a premium or a discount. That leaves the read on whether Fine Organic Industries is overvalued or undervalued more dependent on its growth trajectory than on the PE ratio itself.

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Fine Organic Industries’s Financial Growth and Profitability

Fine Organic Industries’s revenue moved from Rs 2,366.75 crore in FY2025 to Rs 2,482.47 crore in FY2026, a change of 4.9%. Net profit grew from Rs 410.50 crore to Rs 417.07 crore over the same period, a swing of roughly 1.6%.

The Fine Organic Industries share price has moved alongside this earnings trend, which is part of why the stock now trades at 0.97 times the industry PE of 37.87 rather than a flat multiple.

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Arguments That Fine Organic Industries Could Be Overvalued

Rich price to book: A P/B of 6.07 is well above the sector average of 4.62.
Low dividend yield: At 0.21%, the stock offers little income cushion if the growth story slows.
Limited margin of safety: At Rs 5,264.50, the stock is only 2.6% below its 52 week high of Rs 5,407.00, leaving less room for error if earnings disappoint.

Arguments That Support the Premium Valuation

High return on equity: ROE of 15.65% against a sector average of 5.52% reflects efficient use of shareholder capital.
Low leverage: A debt to equity ratio of 0.03 gives Fine Organic Industries a comparatively strong balance sheet.
52 week range context: At Rs 5,264.50, the stock is 36.5% above its 52 week low of Rs 3,856.00, showing it has already found some support at lower levels.

Verdict: Is Fine Organic Industries Overvalued or Undervalued Right Now?

On balance, Fine Organic Industries looks fairly valued rather than clearly overvalued or undervalued. Its PE of 36.92 sits close to the industry average of 37.87, and its 15.65% ROE and other ratios do not point to a significant mispricing either way. The more useful question for investors from here is less about the current multiple and more about whether earnings growth accelerates or slows.

What Could Change This Valuation Picture for Fine Organic Industries?

Two broad scenarios could shift this valuation call on Fine Organic Industries in either direction. On the upside, an improvement in return ratios or growth that pushes the stock’s PE of 36.92 toward a premium over the industry average of 37.87. On the downside, a deterioration in the numbers that pulls the PE below the industry average of 37.87 instead. Investors watching the Fine Organic Industries share price over the next few quarters should track whether reported ROE holds near 15.65% and whether the PE gap versus the industry average of 37.87 widens or narrows, since both will matter more to the eventual answer than the current price point on its own.

Conclusion

Fine Organic Industries’s numbers point to a stock that is fairly valued on headline multiples. Investors tracking the Fine Organic Industries share price should watch whether earnings growth can keep pace with the current PE of 36.92, since that gap remains the single biggest variable in whether the stock is undervalued, fairly priced, or overvalued from here. This article is for informational purposes only and is not investment advice.

Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).

FAQs on Fine Organic Industries Valuation

Is Fine Organic Industries overvalued or undervalued right now?

Ans. Based on a PE ratio of 36.92 against an industry average of 37.87, Fine Organic Industries currently looks fairly valued on relative valuation. Its 15.65% ROE is an important part of the picture alongside the PE ratio.

What is Fine Organic Industries’s current PE ratio?

Ans. Fine Organic Industries’s price to earnings ratio stands at 36.92, compared with an industry average PE of 37.87.

What is Fine Organic Industries’s return on equity?

Ans. Fine Organic Industries generates a return on equity of 15.65%, against a sector average of 5.52% among specialty chemicals peers.

What is Fine Organic Industries’s 52 week high and low?

Ans. Fine Organic Industries’s 52 week high is Rs 5,407.00 and its 52 week low is Rs 3,856.00. The stock currently trades around Rs 5,264.50, roughly 2.6% below its high.

Does Fine Organic Industries have high debt?

Ans. Fine Organic Industries carries a debt to equity ratio of 0.03, which is low for its sector.

What is Fine Organic Industries’s dividend yield?

Ans. Fine Organic Industries offers a dividend yield of 0.21% at the current share price.

Is Fine Organic Industries a good stock to buy at current levels?

Ans. Fine Organic Industries’s current valuation suits investors who agree with the fairly valued read on its PE ratio and are comfortable with the trade-off between its return ratios and its price. This is for informational purposes only and is not investment advice.

What is Fine Organic Industries’s price to book ratio?

Ans. Fine Organic Industries trades at a price to book ratio of 6.07, compared with a sector average of 4.62 among specialty chemicals peers.

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Author: Kunal Singla

Kunal Singla is the Associate Director - Research at Univest, leading quantitative equity research, intraday trading setups, and derivatives strategy. With 4+ years of experience in Indian equity markets, he combines rigorous quantitative methods with classical technical analysis to build high-conviction research frameworks for retail and advisory clients. He holds an MSc from the Indian Institute of Technology (IIT) Delhi — one of India's most selective institutions — and has completed the Certificate in Quantitative Finance (CQF), a globally recognised programme covering derivatives pricing, risk modelling, machine learning for finance, and advanced portfolio theory. This combination places him in a small group of Indian analysts with both deep academic training in quantitative methods and SEBI-recognised research credentials. Kunal holds seven SEBI-recognised NISM certifications spanning research, derivatives, portfolio management, and securities operations: Series-XV (Research Analyst), Series-XXI-A (Portfolio Managers), Series-XVI (Commodity Derivatives), Series-VIII (Equity Derivatives), Series-VII (SORM), Series-V-A (Mutual Fund Distributors), and Series-I (Currency Derivatives). At Univest — India's SEBI-registered research and advisory platform — Kunal leads research inputs for Pro Lite, Pro Super, Pro Gold, and Pro Commodity advisory services, alongside publishing intraday stock picks on Univest Blogs.