Is Jash Engineering overvalued or undervalued?

As of 1 October 2025, Jash Engineering's valuation grade has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company's current valuation suggests it is overvalued, particularly when considering its PE ratio of 36.80, a Price to Book Value of 6.98, and an EV to EBITDA of 25.01. These ratios are notably high compared to its peers, such as Thermax with a PE of 56.24 and BEML Ltd at 60.15, which also reflect very expensive valuations.
In the context of its industry, Jash Engineering's PEG ratio of 2.31 further emphasizes its overvaluation, especially when compared to peers like ISGEC Heavy, which is rated attractive with a PEG of 21.98. Recent stock performance shows a decline of 5.81% over the past week, contrasting with a minor decline of 0.90% in the Sensex, reinforcing the notion that Jash Engineering's stock may not be justified at its current price level of 481.45.