Is Broach Lifecare overvalued or undervalued?

As of 19 September 2025, Broach Lifecare's valuation grade has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently assessed as undervalued, especially when considering its PE ratio of 10.93 and an EV to EBITDA ratio of 11.78, which are considerably lower than its peers. For instance, Apollo Hospitals has a PE ratio of 71.29 and an EV to EBITDA of 36.65, while Max Healthcare is even more expensive with a PE of 93.83.
Broach Lifecare's ROCE stands at 6.90% and ROE at 5.81%, suggesting solid operational efficiency relative to its peers. The PEG ratio of 0.00 further emphasizes its undervaluation, as it indicates that the stock price does not reflect the company's earnings growth potential. Despite recent stock performance lagging behind the Sensex, with a 1-year return of -25.38% compared to the Sensex's -0.67%, the underlying valuation metrics suggest that Broach Lifecare presents a compelling investment opportunity at its current price of 20.90.