Is SBL Infratech overvalued or undervalued?

As of 29 October 2025, the valuation grade for SBL Infratech has moved from attractive to very attractive, indicating a significant positive shift in its perceived value. The company appears to be undervalued, particularly when considering its key ratios: a PE ratio of 19.42, an EV to EBITDA of 3.59, and a PEG ratio of 0.24, which suggests strong growth potential relative to its price.
In comparison to its peers, SBL Infratech stands out as very attractive, especially against DLF, which has a PE ratio of 40.3 and an EV to EBITDA of 85.69, and Lodha Developers, with a PE of 39.88 and an EV to EBITDA of 29.13. This stark contrast highlights SBL Infratech's favorable valuation metrics in a sector where many competitors are deemed very expensive. Additionally, despite a year-to-date return of -17.39%, the company's 1-year return of 30.55% significantly outperformed the Sensex's 5.76%, reinforcing the narrative of its undervaluation relative to market performance.