Is Shreeshay Engi. overvalued or undervalued?

As of 24 October 2025, the valuation grade for Shreeshay Engineering has moved from risky to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, as evidenced by its exceptionally high PE ratio of 282.93, an EV to EBIT ratio of 35.38, and a ROE of only 0.59%. These metrics suggest that the stock is priced far above its earnings capacity, raising concerns about its sustainability at current levels.
In comparison to its peers, Shreeshay Engineering's valuation stands out starkly; for instance, Rail Vikas has a PE ratio of 57.64, while AIA Engineering's is 28.68, both of which are significantly lower than Shreeshay's. Additionally, the company's recent stock performance has been underwhelming, with a year-to-date return of -36.18% compared to a 7.77% return for the Sensex, further reinforcing the notion that the stock is overvalued in the current market environment.