Is HB Estate Devel. overvalued or undervalued?

As of 1 July 2025, the valuation grade for HB Estate Development has moved from very attractive to attractive. The company appears to be undervalued based on its current metrics. The PE ratio stands at 18.43, the EV to EBITDA ratio is 10.78, and the PEG ratio is notably low at 0.12, indicating potential for growth at a reasonable price.
In comparison to its peers, HB Estate Development's valuation metrics are significantly more favorable. For instance, Indian Hotels Co has a PE ratio of 65.49 and an EV to EBITDA of 39.17, while ITC Hotels shows a PE of 66.48 and an EV to EBITDA of 37.83, both categorized as very expensive. Additionally, the company's recent stock performance has outpaced the Sensex, with a 1-year return of 27.95% compared to the Sensex's 5.31%, reinforcing the notion that HB Estate Development is currently undervalued in the market.