Is Family Care overvalued or undervalued?

As of 24 October 2025, the valuation grade for Family Care has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued based on its financial ratios, with a PE ratio of 0.82, an EV to EBITDA ratio of 0.98, and an ROE of 219.63%. These figures suggest that despite a high return on equity, the overall valuation metrics do not support the current price levels.
When compared to peers, Family Care's valuation stands out as significantly lower than that of Max Healthcare, which has a PE ratio of 95.69, and Apollo Hospitals, with a PE ratio of 71.66. This stark contrast highlights that Family Care is not only overvalued relative to its own historical performance but also when benchmarked against industry leaders. Additionally, the company's stock has underperformed the Sensex over various time frames, including a 1-year return of -38.09% compared to the Sensex's 5.18%, reinforcing the notion that Family Care's current market price may not be justified.