Is JNK overvalued or undervalued?

As of 4 July 2025, the valuation grade for JNK has moved from very expensive to expensive, indicating a slight improvement in its perceived value. However, the company remains overvalued based on its current metrics. The price-to-earnings (PE) ratio stands at 62.00, while the price-to-book value is 3.71, and the EV to EBITDA ratio is 36.98. 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 lower than Thermax's 64.81 but higher than BEML Ltd's 64.38, both of which are categorized as very expensive. Additionally, JNK's PEG ratio of 0.00 indicates no growth expectations, which is concerning given its high valuation. The stock has significantly underperformed against the Sensex, with a year-to-date return of -48.87% compared to the Sensex's 6.77%. Overall, JNK is considered overvalued in the current market environment.