Is Sambandam Spg. overvalued or undervalued?

As of 20 October 2025, the valuation grade for Sambandam Spg. has moved from attractive to fair, indicating a shift in perception regarding its market value. The company is currently fairly valued, with a PE ratio of -8.86, an EV to EBITDA of 15.09, and an EV to Sales ratio of 0.64. These figures suggest that while the company is not performing well in terms of profitability, it is not excessively priced compared to its earnings potential.
In comparison to its peers, Sambandam Spg. has a significantly lower PE ratio than K P R Mill Ltd, which stands at 42.59, and a similar EV to EBITDA ratio to Trident, which is at 15.55. This positions Sambandam Spg. as relatively more attractive in terms of valuation metrics, despite its negative returns year-to-date and over the past year compared to the Sensex. Overall, the company’s valuation reflects a cautious outlook, aligning with its recent performance trends.