Is Sanathan Textile overvalued or undervalued?

As of 7 November 2025, the valuation grade for Sanathan Textile has moved from very expensive to expensive, indicating a slight improvement in perceived value. The company is currently considered overvalued. Key ratios include a PE ratio of 30.16, an EV to EBITDA of 22.16, and a Price to Book Value of 0.23, which suggests that while the company has a low book value relative to its market price, its earnings multiples are still high compared to industry norms.
In comparison with peers, K P R Mill Ltd is categorized as very expensive with a PE ratio of 43.65, while Vardhman Textile is attractive with a PE of 15.12, highlighting that Sanathan Textile's valuation is on the higher end relative to some competitors. Additionally, the company's recent stock performance shows a year-to-date return of 34.97%, significantly outperforming the Sensex's 6.50% return, which may indicate strong market sentiment despite the overvaluation.