Is Jupiter Wagons overvalued or undervalued?

As of 12 September 2025, Jupiter Wagons has moved from an expensive to a very expensive valuation grade. The company is currently overvalued based on its financial metrics. Key ratios include a PE ratio of 44.38, an EV to EBITDA of 28.19, and a Price to Book Value of 5.20, all of which are significantly higher than industry norms.
In comparison to its peers, Bosch has a PE ratio of 53 and an EV to EBITDA of 47.90, while Samvardhana Motherson stands at a more attractive PE of 32.35 and an EV to EBITDA of 11.86. These comparisons highlight that Jupiter Wagons is trading at a premium relative to its peers, indicating a lack of justification for its high valuation. Additionally, while the stock has shown strong returns over the long term, its year-to-date performance has been poor at -32.85%, contrasting with a positive Sensex return of 4.82%.