Is Chetana Educa. overvalued or undervalued?

As of 1 October 2025, the valuation grade for Chetana Education has moved from fair to expensive, indicating a shift in its perceived value. The company is currently overvalued based on its financial metrics. Key ratios include a PE ratio of 10.96, an EV to EBIT of 8.39, and a ROE of 17.10%.
When compared to peers, Chetana's valuation stands out; for instance, D B Corp has a PE ratio of 14.36 and an EV to EBITDA of 8.17, while Navneet Education shows a PE of 17.55 and an EV to EBITDA of 11.27. Additionally, Chetana's stock has underperformed relative to the Sensex, with a year-to-date return of -25.31% compared to the Sensex's positive return of 5.04%. This further reinforces the notion that Chetana Education is currently overvalued in the market.