Is Saregama India overvalued or undervalued?

As of 14 July 2025, Saregama India has moved from a valuation grade of very expensive to expensive. The company is currently considered overvalued based on its high valuation ratios, including a PE ratio of 46.47, an EV to EBITDA ratio of 31.30, and a PEG ratio of 30.40. These figures indicate that the stock is trading at a premium compared to its earnings growth potential.
In comparison to its peers, Saregama India’s PE ratio is significantly higher than that of Page Industries, which stands at 74.54, and Jubilant Food, which has a PE ratio of 199.67. This suggests that while Saregama is expensive, it is still less so than some of its peers in the media and entertainment sector. Notably, the company has underperformed the Sensex over the past year, with a return of -8.00% compared to the Sensex's 2.15%, reinforcing the notion that the stock may be overvalued at its current price of 483.00.