Is Ansal Housing overvalued or undervalued?

As of 23 September 2025, Ansal Housing's valuation grade has moved from very attractive to attractive, indicating a shift in market perception. The company is currently considered undervalued, primarily due to its low Price to Book Value of 0.49 and an EV to Sales ratio of 0.96, which suggests that the market may not be fully recognizing the company's asset value. However, the PE Ratio stands at a concerning -49.08, reflecting negative earnings, which can be a significant red flag for investors.
In comparison to its peers, Ansal Housing's valuation metrics are notably lower. For instance, DLF has a PE Ratio of 39.31, while Lodha Developers shows a PE of 40.56, both of which are significantly higher than Ansal's negative PE. Additionally, the EV to EBITDA ratio of 12.76 for Ansal Housing is more favorable compared to peers like Godrej Properties, which has an alarming EV to EBITDA of -905.85. Despite recent stock performance trailing the Sensex, particularly with a year-to-date decline of 46.21% against a 5.07% rise in the index, the underlying valuation metrics suggest that Ansal Housing may still present a buying opportunity for investors looking for undervalued assets in the realty sector.