Is Sashwat Technoc overvalued or undervalued?

As of 14 August 2025, Sashwat Technoc's valuation grade has moved from risky to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, with a PE ratio of -7.38, an EV to EBIT of -7.33, and an EV to Capital Employed of 5.68. These ratios suggest that the company's financial performance is not only poor but also does not justify its current market price. In comparison to its peers, Sashwat Technoc stands out unfavorably. For instance, Life Insurance has a PE ratio of 11.53 and an EV to EBITDA of 8.97, categorizing it as very attractive. In contrast, Bajaj Finance, while also very expensive, has a PE ratio of 30.73 and an EV to EBITDA of 17.64. The stark difference in these ratios highlights Sashwat Technoc's overvaluation relative to its industry peers. Notably, the company's stock has outperformed the Sensex over the past year, returning 37.65%, which may contribute to its inflated valuation despite the underlying financial challenges.