Is Keystone Realtor overvalued or undervalued?

As of 2 July 2025, the valuation grade for Keystone Realtor has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently overvalued based on its financial ratios, with a PE Ratio of 47.20, an EV to EBITDA of 38.05, and a Price to Book Value of 2.93. These metrics suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison with peers, Keystone Realtor's PE Ratio is higher than that of DLF, which stands at 43.99, and Macrotech Development, which has a PE Ratio of 50.52. Additionally, the company's ROCE of 7.09% and ROE of 6.20% further highlight its underperformance relative to the high valuation. Despite a recent strong stock performance with a 1-week return of 11.81% compared to the Sensex's 0.79%, the overall valuation suggests that Keystone Realtor is not justified at its current price level.