Is Brigade Hotel overvalued or undervalued?

As of 9 October 2025, Brigade Hotel's valuation grade has moved from very expensive to expensive, indicating a slight adjustment in its perceived value. The company is currently considered overvalued based on its high valuation ratios, including a PE ratio of 183.79, a Price to Book Value of 27.49, and an EV to EBITDA of 25.93.
In comparison to peers, Brigade Hotel's PE ratio is significantly higher than that of Indian Hotels Co at 61.23 and ITC Hotels at 63.89, both of which are also classified as very expensive. This suggests that Brigade Hotel's stock is trading at a premium relative to its industry counterparts. Additionally, the company's recent stock performance has lagged behind the Sensex, with a 1-week return of -1.95% compared to the Sensex's 1.47% gain, reinforcing the notion that it may be overvalued in the current market context.