Is GTV Engineering overvalued or undervalued?

As of 9 October 2025, GTV Engineering's valuation grade has moved from expensive to very expensive, indicating a significant shift in its market perception. The company appears to be overvalued based on its current metrics, with a PE ratio of 30.94, a Price to Book Value of 7.70, and an EV to EBITDA ratio of 21.54. These figures suggest that investors are paying a premium for the stock relative to its earnings and book value.
In comparison to its peers, GTV Engineering's valuation stands out as particularly high, especially when juxtaposed with Rail Vikas, which has a PE ratio of 60.23, and AIA Engineering with a PE ratio of 27.92. While GTV's PEG ratio of 0.29 indicates potential growth, the overall valuation metrics suggest that it is priced at a premium compared to its industry peers. Furthermore, the company has outperformed the Sensex significantly, with a year-to-date return of 148.16% compared to the Sensex's 5.16%, reinforcing the notion of overvaluation as the stock price may not be sustainable at these levels.