Is Shangar Decor overvalued or undervalued?

As of 9 June 2025, Shangar Decor's valuation grade has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a PE ratio of 10.72, an EV to EBITDA of 7.27, and a PEG ratio of 0.06, which suggests strong growth potential relative to its price.
In comparison to its peers, Shangar Decor's metrics stand out, particularly against Altius Telecom, which has a significantly higher PE ratio of 52.97, and Embassy Off.REIT, with a PE of 23.09. Despite its fair valuation, Shangar Decor has underperformed in the market, with a year-to-date return of -36.89%, contrasting sharply with the Sensex's gain of 5.51% during the same period. This performance may indicate that the market has not fully recognized the company's potential despite its favorable valuation ratios.