Is Allcargo Termi overvalued or undervalued?

As of 6 November 2025, the valuation grade for Allcargo Termi has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently deemed undervalued, especially when considering its price-to-earnings (PE) ratio of 22.85, a price-to-book value of 0.26, and an EV-to-EBITDA ratio of 9.59. These ratios suggest that the stock is trading at a discount compared to its earnings and book value.
In comparison to its peers, Allcargo Termi's valuation appears favorable, particularly against Altius Telecom, which has a much higher PE ratio of 56.22 and an EV-to-EBITDA of 10.61. Other peers like Embassy Office REIT and Mindspace Business are classified as very expensive, with PE ratios of 134.61 and 53.87, respectively. Despite recent underperformance relative to the Sensex, where Allcargo Termi has seen a year-to-date decline of 15.53% compared to the Sensex's gain of 6.62%, the company's strong valuation metrics position it as an attractive investment opportunity in the transport infrastructure sector.