Is I O B overvalued or undervalued?

As of 18 July 2025, the valuation grade for I O B has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios include a PE Ratio of 20.09, a Price to Book Value of 2.35, and a PEG Ratio of 0.59, which suggest that the stock is priced high relative to its earnings growth potential.
In comparison to its peers, I O B's PE Ratio is significantly higher than that of Punjab National Bank at 7.83 and Bank of Baroda at 6.45, both of which are categorized as very attractive. This disparity highlights the overvaluation of I O B in the current market context. Additionally, while I O B has shown a positive return of 2.31% over the past week, its year-to-date performance is down by 22.98%, contrasting sharply with the Sensex's gain of 4.63% during the same period.