Is Shiva Granito overvalued or undervalued?

As of 18 September 2025, the valuation grade for Shiva Granito has moved from expensive to very expensive. This indicates that the company is currently overvalued. The key ratios reflect this stance, with a PE Ratio of 20.40, an EV to EBIT of 25.55, and a ROCE of only 2.43%.
When compared to peers, Kajaria Ceramics is valued at a PE of 57.47, while L T Foods, rated very attractive, has a PE of 26.02. The significant disparity in valuations suggests that Shiva Granito is not only overvalued relative to its peers but also lacks the financial performance to justify its current price. Furthermore, while the stock has shown strong returns over the long term, it has underperformed the Sensex year-to-date, reinforcing the notion of overvaluation.