Is Banaras Beads overvalued or undervalued?

As of 30 October 2025, the valuation grade for Banaras Beads has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued based on its financial metrics. Key ratios include a PE Ratio of 31.83, an EV to EBITDA of 23.76, and a PEG Ratio of 2.82, all of which suggest that the stock is priced at a premium compared to its earnings growth potential.
In comparison to its peers, Banaras Beads' valuation appears steep. For instance, Altius Telecom has a much higher PE Ratio of 56.22 but offers a more favorable EV to EBITDA of 10.61, while Embassy Office REIT stands at a PE of 25.32 with an EV to EBITDA of 22.27. Despite Banaras Beads' recent stock performance, which has outpaced the Sensex with a year-to-date return of 22.22% compared to the Sensex's 8.02%, the elevated valuation metrics suggest that investors may be overestimating future growth prospects.