Is Pace E-Commerce overvalued or undervalued?

As of 1 October 2025, the valuation grade for Pace E-Commerce has moved from fair to attractive, indicating a more favorable assessment of the company's worth. The company appears to be undervalued, especially when compared to its peers in the e-retail sector. Key ratios include a PE ratio of 15.18, an EV to EBITDA of 14.41, and a PEG ratio of 0.39, suggesting that the stock may be trading at a discount relative to its growth potential.
In comparison to its peers, Pace E-Commerce's valuation metrics stand out. For instance, Avenue Supermarts and Trent are both categorized as very expensive, with PE ratios of 106.9 and 108.49, respectively. This stark contrast highlights Pace's relative attractiveness within the industry. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -33.83% compared to the Sensex's 3.64%, reinforcing the notion that the stock may be undervalued in the current market environment.