Is Shreenath Paper overvalued or undervalued?

As of 28 August 2025, the valuation grade for Shreenath Paper has moved from fair to expensive, indicating a shift in its market perception. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE Ratio of 15.47, an EV to EBIT of 15.16, and a ROCE of 6.61%.
When compared to peers, Shreenath Paper's valuation stands out as expensive, especially against PTC India, which is very attractive with a PE of 8.47 and an EV to EBITDA of 4.51. Other peers like Lloyds Enterprises are categorized as very expensive with a PE of 38.36. Additionally, Shreenath Paper's recent stock performance has outpaced the Sensex over the past week, returning 3.41% compared to the Sensex's decline of 2.34%. Overall, the analysis suggests that Shreenath Paper is overvalued in its current market position.