Is Panorama Studios overvalued or undervalued?

As of 8 July 2025, the valuation grade for Panorama Studios has moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued. Key financial ratios include a PE ratio of 33.89, an EV to EBITDA ratio of 24.78, and a Price to Book Value of 7.39, which are significantly higher than industry norms.
In comparison to peers, Panorama Studios' PE ratio is notably higher than PVR Inox, which has a PE ratio of 10.87, and Prime Focus, which has a PE ratio of 1655.69 but is categorized as fair. The high valuation ratios suggest that Panorama Studios is priced at a premium relative to its peers, reinforcing the conclusion of being overvalued. Additionally, while the stock has outperformed the Sensex over the long term, its recent performance shows a decline, which may further support the overvaluation narrative.