Is Sandur Manganese overvalued or undervalued?

As of 22 May 2025, the valuation grade for Sandur Manganese has moved from very expensive to expensive. The company is currently considered overvalued. Key ratios include a PE ratio of 15.99, an EV to EBITDA of 11.77, and a PEG ratio of 0.17, which suggests that while the earnings growth potential is high, the current valuation does not justify the price.
In comparison to its peers, Sandur Manganese's PE ratio is significantly higher than that of Coal India, which has a PE of 6.95 and is rated very attractive, and NMDC, which is rated fair with a PE of 9.74. This indicates that Sandur Manganese is priced at a premium relative to its peers without a corresponding justification in terms of growth or profitability. Additionally, while the stock has shown strong long-term returns, it has underperformed against the Sensex in the past year, further reinforcing the notion of overvaluation.