Is Sayaji (Indore) overvalued or undervalued?

As of 23 September 2025, the valuation grade for Sayaji (Indore) has moved from risky to very expensive, indicating a significant shift in its perceived value. The company is currently assessed as overvalued. Key ratios include a PE ratio of 31.23, an EV to EBITDA of 15.16, and a ROE of 17.21%.
In comparison to its peers, Sayaji's valuation appears steep; for instance, Indian Hotels Co has a PE ratio of 62.81, while ITC Hotels stands at 70.67. This suggests that despite a higher valuation, Sayaji does not offer a competitive edge in terms of profitability metrics. Furthermore, while Sayaji has outperformed the Sensex year-to-date with a return of 50.62% compared to the Sensex's 5.07%, its recent performance over the past year shows a decline of 1.03%, reinforcing the notion of overvaluation in the current market context.