Is Permanent Magnet overvalued or undervalued?

As of 8 August 2025, the valuation grade for Permanent Magnet has moved from expensive to very expensive. This indicates a significant increase in perceived overvaluation. The company is currently assessed as overvalued, with a PE ratio of 49.38, a Price to Book Value of 5.79, and an EV to EBITDA ratio of 25.62.
When comparing Permanent Magnet to its peers, Rail Vikas has a PE ratio of 54.8 and an EV to EBITDA of 63.34, while Tube Investments stands at a PE of 85.82 and an EV to EBITDA of 28.71. These comparisons highlight that Permanent Magnet, despite its very expensive classification, is still relatively lower in some ratios than its peers. Notably, the company has shown strong returns over the long term, with a 3-year return of 176.56% compared to the Sensex's 35.69%, although its 1-year return of -6.92% contrasts with the Sensex's 1.23% gain.