Is P N Gadgil Jewe. overvalued or undervalued?

As of 29 August 2025, P N Gadgil Jewellers has moved from a fair to an expensive valuation grade. The company is currently considered overvalued based on its financial ratios. Key metrics include a PE ratio of 30.79, an EV to EBITDA of 21.45, and a ROCE of 15.36%.
In comparison to its peers, P N Gadgil Jewellers has a significantly higher PE ratio than PC Jeweller, which stands at 14.79, and is also more expensive than Senco Gold, which has a PE of 28.4. The valuation appears inflated when juxtaposed against the industry averages, particularly given the high multiples of competitors like Titan Company and Kalyan Jewellers. Additionally, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -14.04% compared to the Sensex's 2.14%.