Is Sambhv Steel overvalued or undervalued?

As of 29 August 2025, Sambhv Steel's valuation grade has moved from does not qualify to very expensive, indicating a significant shift in its market perception. The company is currently assessed as overvalued. Key ratios highlight this valuation: the PE ratio stands at 61.18, the Price to Book Value is 7.16, and the EV to EBITDA ratio is 26.32, all of which are considerably higher than industry norms.
In comparison to its peers, Sambhv Steel's PE ratio is notably higher than JSW Steel at 49.05 and Tata Steel at 39.73, both of which are considered fairly valued or attractive. Additionally, the EV to EBITDA ratio of Sambhv Steel at 26.32 is also elevated compared to Tata Steel's 10.58 and Jindal Steel's 11.31. The recent performance of Sambhv Steel shows a decline, with a 1-week return of -6.41%, contrasting with a slight drop in the Sensex of -1.84%, reinforcing the notion of its overvaluation in the current market context.