Is Sharda Ispat overvalued or undervalued?

As of 10 October 2025, Sharda Ispat's valuation grade has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued, particularly when compared to its peers. Key ratios include a PE ratio of 25.75, an EV to EBITDA of 27.88, and a ROCE of 9.37%.
In the peer comparison, Sharda Ispat stands out against JSW Steel, which has a PE of 55.8, and Tata Steel, with a PE of 44.71, both classified as fair. Additionally, SAIL, another attractive peer, has a significantly lower PE of 17.94, reinforcing Sharda Ispat's favorable valuation. Despite recent stock performance lagging behind the Sensex, particularly in the past year with a return of -43.80% compared to the Sensex's 1.09%, the long-term growth potential remains strong, as evidenced by a remarkable 5-year return of 894.00%.