Is JNK overvalued or undervalued?

As of 3 July 2025, the valuation grade for JNK has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently considered overvalued, with a PE ratio of 63.22, an EV to EBITDA ratio of 37.78, and a Price to Book Value of 3.79. These ratios suggest that JNK is trading at a premium compared to its earnings and book value.
In comparison to its peers, JNK's PE ratio is slightly lower than Thermax's 65.57 but higher than BEML Ltd's 63.38, both of which are also classified as very expensive. The PEG ratio for JNK stands at 0.00, indicating no growth expectations factored into its valuation, which is concerning. Additionally, JNK has underperformed the Sensex significantly, with a year-to-date return of -47.86% compared to the Sensex's 6.53%, reinforcing the notion that the stock is overvalued in the current market context.