Is Shangar Decor overvalued or undervalued?

As of 3 July 2025, Shangar Decor's valuation grade has moved from fair to attractive, indicating a more favorable assessment of its market position. The company is currently considered undervalued. Key ratios supporting this conclusion include a PE ratio of 10.22, an EV to EBIT of 9.61, and a PEG ratio of 0.06, which suggests that the stock is trading at a significant discount relative to its earnings growth potential.
In comparison to its peers, Shangar Decor's PE ratio is substantially lower than that of Altius Telecom, which has a PE of 51.52, and Embassy Off.REIT, with a PE of 22.83. This stark contrast highlights the potential for upside in Shangar Decor's valuation. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -39.81% compared to the Sensex's 6.53%, further emphasizing the opportunity for recovery and growth in value.