Is 3B Films overvalued or undervalued?

As of 22 September 2025, the valuation grade for 3B Films has moved from very expensive to expensive, indicating a shift in perceived value. The company is currently considered overvalued based on its key financial ratios. The PE ratio stands at 15.39, while the EV to EBITDA ratio is 11.62, and the ROE is at 16.33%.
In comparison with peers, Garware Hi Tech has a significantly higher PE ratio of 23.53 and an EV to EBITDA of 16.28, while AGI Greenpac, deemed very attractive, has a PE of 15.36 and an EV to EBITDA of 8.88. This suggests that 3B Films is trading at a premium relative to some of its peers despite its expensive valuation status. Additionally, the company's recent stock performance has lagged behind the Sensex, with a 1-week return of -7.74%, further reinforcing the notion that it is overvalued at its current price of 31.37.