Is Rajesh Exports overvalued or undervalued?

As of 6 August 2025, the valuation grade for Rajesh Exports has moved from risky to very expensive. The company appears to be overvalued based on its current financial metrics. Key ratios include a PE ratio of 56.11, an EV to EBITDA of 21.10, and a ROE of only 0.25%.
When compared to peers, Rajesh Exports' PE ratio is significantly higher than that of Titan Company, which stands at 90.9, and Kalyan Jewellers at 85.03, both of which are also considered expensive. Furthermore, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -21.98% compared to the Sensex's 3.08%. This combination of high valuation ratios and poor relative performance reinforces the conclusion that Rajesh Exports is overvalued.