Is Sharda Motor overvalued or undervalued?

As of 6 October 2025, Sharda Motor's valuation grade has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued. Key ratios include a PE ratio of 19.42, an EV to EBITDA of 13.47, and a remarkable ROCE of 162.59%.
In comparison to its peers, Sharda Motor's valuation stands out; for instance, Bosch is deemed expensive with a PE ratio of 51.68, while Samvardhana Motherson is attractive with a PE of 32.83. The company's recent stock performance has outpaced the Sensex over the year, with a YTD return of 17.03% compared to the Sensex's 4.67%, reinforcing the attractiveness of its current valuation.