Is Scarnose Inter. overvalued or undervalued?

As of 18 July 2025, the valuation grade for Scarnose Inter. has moved from risky to very expensive, indicating a significant shift in its perceived value. The company appears to be overvalued, with a PE ratio of 28.57, an EV to EBIT ratio of 28.43, and a Price to Book Value of 2.99. These ratios suggest that the stock is priced high relative to its earnings and book value.
In comparison to its peers, Scarnose Inter. stands out with a PE ratio lower than K P R Mill Ltd, which has a PE of 49.61, but significantly higher than Trident, which is rated fair with a PE of 43.41. The PEG ratio of Scarnose Inter. is notably low at 0.02, indicating potential overvaluation based on growth expectations. Additionally, while the company has shown positive returns over the past week and month, its year-to-date performance has declined by 42.08%, contrasting sharply with the Sensex's 4.63% gain. This further reinforces the view that Scarnose Inter. is currently overvalued.