Is Broach Lifecare overvalued or undervalued?

As of 26 August 2025, Broach Lifecare's valuation grade has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 15.42, an EV to EBIT of 15.35, and a ROCE of 13.19%.
In comparison to its peers, Broach Lifecare's valuation appears reasonable, especially when contrasted with Max Healthcare, which has a PE ratio of 95.68, and Apollo Hospitals at 70.89. Despite the fair valuation, Broach Lifecare has shown a strong performance in the short term, with a 1-week return of 18.14%, significantly outperforming the Sensex, which declined by 1.05%. However, the longer-term outlook remains cautious, as the stock has declined by 46.27% over the past year.