Is Pecos Hotels overvalued or undervalued?

As of 9 September 2025, Pecos Hotels has moved from an expensive to a very expensive valuation grade. The company is currently considered overvalued. Key ratios include a PE ratio of 29.77, an EV to EBITDA of 20.72, and a Price to Book Value of 6.47, which indicate a premium valuation compared to industry norms.
In comparison to its peers, Pecos Hotels' PE ratio is significantly lower than that of Indian Hotels Co, which stands at 64.86, and ITC Hotels at 72.69. However, it is worth noting that the PEG ratio of Pecos Hotels is 1.28, which is more favorable than some peers, yet still reflects a high valuation in the context of the overall market. Recent stock performance shows that Pecos Hotels has outperformed the Sensex over the past month with a return of 69.36% compared to the Sensex's 1.56%, but its one-year return of -22.58% suggests volatility and potential overvaluation concerns.