Is Pearl Global Ind overvalued or undervalued?

As of 18 November 2025, the valuation grade for Pearl Global Ind has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued based on key ratios, including a PE ratio of 29.37, an EV to EBITDA of 17.78, and a Price to Book Value of 6.01. These figures suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Pearl Global Ind's PE ratio is notably higher than Vardhman Textile, which has a PE of 15.62, and lower than K P R Mill Ltd, which is classified as very expensive at 45.81. The PEG ratio of 1.19 further supports the overvaluation assessment, especially when compared to Trident's more attractive PEG of 0.86. Additionally, while Pearl Global Ind has outperformed the Sensex significantly over various periods, including a 63.21% return over the last year compared to the Sensex's 9.48%, the current valuation metrics suggest that the stock may not provide the same level of growth moving forward.