Is PDS overvalued or undervalued?

As of 12 November 2025, the valuation grade for PDS has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a PE ratio of 52.42, a Price to Book Value of 3.34, and an EV to EBITDA ratio of 15.06. In comparison to its peers, K P R Mill Ltd is considered very expensive with a PE of 44.49, while Vardhman Textile is rated fair with a PE of 15.34.
Despite the recent stock performance showing a 29.51% return over the past month compared to a 2.38% return for the Sensex, the overall year-to-date return for PDS is down by 30.61%, suggesting volatility and potential overvaluation concerns in the longer term. The current valuation metrics highlight that while PDS is not undervalued, its high PE ratio compared to peers raises questions about future growth expectations.