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. 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. In comparison, State Bank of India has a PE ratio of 10.36, while Punjab National Bank boasts a much lower PE ratio of 7.83, indicating that I O B's valuation is significantly higher than its peers.
Despite a recent positive trend in stock performance, with a 1-week return of 2.31% compared to a -0.90% return for the Sensex, the long-term outlook shows a decline of 22.98% year-to-date and 41.09% over the past year. This suggests that while there may be short-term fluctuations, the overall valuation of I O B does not align favorably with its peers in the public sector banking industry.