Is NBCC overvalued or undervalued?

As of 7 November 2025, the valuation grade for NBCC has moved from fair to expensive, indicating a shift in its perceived value. The company is currently overvalued based on its high valuation ratios, including a PE Ratio of 47.91, a Price to Book Value of 12.35, and an EV to EBITDA of 38.37. These figures suggest that investors are paying a premium for the stock relative to its earnings and book value.
When compared to its peers, NBCC's valuation appears significantly higher. For instance, DLF has a PE Ratio of 42.56 and an EV to EBITDA of 86.07, while Lodha Developers shows a PE of 36.74 and an EV to EBITDA of 27.47, both of which are lower than NBCC's ratios. Additionally, despite a strong YTD return of 22.17% compared to the Sensex's 6.50%, the current valuation metrics indicate that NBCC is not justified at its current price of 113.40, reinforcing the conclusion that it is overvalued.