Is Sagar Cements overvalued or undervalued?

As of 27 October 2025, Sagar Cements has moved from an expensive to a very attractive valuation grade. The company is currently considered undervalued, with a PE ratio of -21.51, a Price to Book Value of 0.18, and an EV to EBITDA ratio of 31.24. These figures indicate significant discrepancies compared to its peers, such as UltraTech Cement, which has a PE ratio of 48.25, and Grasim Industries with a PE of 46.85, highlighting Sagar's relative undervaluation within the industry.
In addition to its attractive valuation metrics, Sagar Cements shows a stark contrast in performance against its peers, particularly with a PEG ratio of 0.00, suggesting no growth expectations priced in, while competitors like Ambuja Cements and Shree Cement are trading at much higher valuations. Despite recent stock performance lagging behind the Sensex over various periods, Sagar's long-term returns remain positive, reinforcing the potential for upside as the market recognizes its value.