Is Gian Lifecare overvalued or undervalued?

As of 4 September 2025, Gian Lifecare's valuation grade has moved from very attractive to very expensive, indicating a significant shift in its market perception. The company is currently overvalued, as evidenced by its PE ratio of -14.79, a Price to Book Value of 0.77, and an EV to EBITDA of 13.68. These metrics suggest that the stock is not only trading at a high valuation relative to its earnings but also reflects a concerning financial position with negative earnings.
In comparison to its peers, Gian Lifecare's valuation stands out unfavorably. For instance, Max Healthcare has a PE ratio of 93.55, while Apollo Hospitals maintains a PE of 72.11, both indicating a more robust earnings outlook. Additionally, the company's recent stock performance has been poor, with a year-to-date return of -23.94%, contrasting sharply with the Sensex's positive return of 3.30% over the same period. This further reinforces the notion that Gian Lifecare is currently overvalued in the healthcare services sector.