Is Lords Ishwar overvalued or undervalued?

As of 3 November 2025, the valuation grade for Lords Ishwar has moved from fair to attractive, indicating a positive shift in its valuation outlook. The company appears to be undervalued, particularly when considering its PE ratio of 46.37, which, while high, is lower than some peers in the industry. For instance, Indian Hotels Co has a PE ratio of 62.31, and ITC Hotels stands at 64.61, both categorized as very expensive. Additionally, Lords Ishwar's EV to EBITDA is 18.08, which is competitive compared to the higher ratios of its peers.
Despite recent stock performance showing a decline of 21.42% year-to-date compared to a 7.47% increase in the Sensex, the long-term outlook remains strong with a 3-year return of 132.23%. The company's ROE and ROCE stand at 4.41% and 4.19%, respectively, which, while modest, suggest potential for improvement. Overall, Lords Ishwar is positioned as an attractive investment opportunity within the Hotels & Resorts sector, particularly against a backdrop of overvalued competitors.