Is Royal Orch.Hotel overvalued or undervalued?

As of 1 September 2025, the valuation grade for Royal Orch.Hotel has moved from fair to attractive, indicating a positive shift in its market position. The company is currently considered undervalued, with a PE ratio of 27.56, an EV to EBITDA ratio of 20.05, and a ROE of 20.47%. Compared to its peers, Royal Orch.Hotel's valuation metrics stand out; for instance, Indian Hotels Co has a PE ratio of 63.47, while ITC Hotels has an even higher PE of 72.91, both categorized as very expensive.
In addition to its favorable ratios, Royal Orch.Hotel has demonstrated strong performance with a year-to-date return of 38.57%, significantly outperforming the Sensex's return of 2.85% in the same period. This performance, combined with its attractive valuation metrics, reinforces the conclusion that Royal Orch.Hotel is undervalued relative to its peers in the Hotels & Resorts industry.