Is Eighty Jewellers overvalued or undervalued?

As of 3 November 2025, the valuation grade for Eighty Jewellers has moved from very expensive to expensive. The company is currently considered overvalued. Key ratios include a PE ratio of 15.77, an EV to EBITDA of 12.42, and a PEG ratio of 0.55, which suggests that while the company is generating earnings, its growth potential may not justify its current price.
In comparison to peers, Eighty Jewellers' PE ratio is significantly lower than that of Titan Company at 89.13 and Kalyan Jewellers at 66.46, indicating a relative undervaluation in terms of earnings. However, it is still higher than PC Jeweller, which is rated very attractive with a PE of 13.05. The recent stock performance has been poor, with a year-to-date return of -39.08%, contrasting sharply with the Sensex's gain of 7.47%, further reinforcing the view that the stock is overvalued in the current market context.