Is Nephro Care overvalued or undervalued?

As of 11 September 2025, Nephro Care's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. However, the company remains overvalued based on its current financial metrics. The PE ratio stands at 74.28, the Price to Book Value is 5.06, and the EV to EBITDA ratio is 42.54, all of which are significantly higher than the industry averages.
In comparison to its peers, Nephro Care's valuation appears less favorable. For instance, Max Healthcare is categorized as very expensive with a PE ratio of 95.01, while Apollo Hospitals, considered fairly valued, has a PE ratio of 72.1. Despite this, Nephro Care's high valuation ratios suggest that it is overvalued relative to its peers. The company's stock has underperformed against the Sensex, particularly over the past year, with a return of -35.06% compared to the Sensex's modest gain of 0.35%.