Is Eighty Jewellers overvalued or undervalued?

As of 18 September 2025, the valuation grade for Eighty Jewellers has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently deemed overvalued based on its financial metrics, with a PE ratio of 18.14, an EV to EBITDA of 13.40, and a PEG ratio of 0.63. In comparison, Titan Company, which is rated fair, has a significantly higher PE ratio of 84.02, while Kalyan Jewellers, also expensive, has a PE ratio of 66.37.
Eighty Jewellers' financial ratios suggest that it is trading at a premium compared to its peers, which raises concerns about its valuation. The company's recent stock performance has been poor, with a year-to-date return of -29.93%, contrasting sharply with the Sensex's gain of 6.24% over the same period. This underperformance reinforces the view that Eighty Jewellers is overvalued in the current market environment.