Is Paramount Specia overvalued or undervalued?

As of 24 October 2025, the valuation grade for Paramount Special has moved from expensive to very expensive. This indicates a significant shift in perception regarding the company's valuation, suggesting that it is now considered overvalued. The company's key ratios include a PE ratio of 15.85, an EV to EBITDA of 9.54, and a ROE of 8.60%.
When compared to peers, Paramount Special's valuation appears starkly higher than companies like Thermax, which has a PE of 58.16, and BEML Ltd, with a PE of 61.79, both categorized as very expensive. This comparison reinforces the notion that Paramount Special is overvalued within its industry. Additionally, the company's recent stock performance has been poor, with a year-to-date return of -44.66%, contrasting sharply with the Sensex's positive return of 9.09% over the same period, further indicating potential overvaluation concerns.