Is Dr Agarwal's Hea overvalued or undervalued?

As of 18 July 2025, the valuation grade for Dr Agarwal's Health has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently considered overvalued, with a PE ratio of 161.88, an EV to EBITDA ratio of 31.30, and a Price to Book Value of 7.42. These ratios suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Dr Agarwal's Health's PE ratio is substantially higher than that of Apollo Hospitals, which stands at 72.72, and Max Healthcare, which is at 104.38. Additionally, the PEG ratio for Dr Agarwal's Health is 0.00, indicating no growth expectations factored into its valuation, contrasting sharply with Apollo Hospitals' PEG of 1.19. Recent stock performance shows a return of 10.61% over the past month, significantly outperforming the Sensex, which returned only 0.38% in the same period, further emphasizing the stock's overvaluation in the current market context.