Is Sanmit Infra overvalued or undervalued?

As of 16 October 2025, the valuation grade for Sanmit Infra has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued based on its high PE ratio of 60.04, EV to EBIT of 37.50, and a Price to Book Value of 4.01. These figures suggest that investors are paying a premium for the stock relative to its earnings and book value.
In comparison to peers, Sanmit Infra's PE ratio significantly exceeds that of DLF at 39.77 and Lodha Developers at 40.25, both of which are also categorized as very expensive. Furthermore, the company's return metrics, such as ROCE at 6.85% and ROE at 6.68%, do not justify its high valuation relative to industry standards. The stock has underperformed against the Sensex, with a year-to-date decline of 28.38% compared to the Sensex's gain of 6.82%, reinforcing the view that Sanmit Infra is overvalued in the current market environment.