Is Silgo Retail overvalued or undervalued?

As of 22 August 2025, Silgo Retail's valuation grade has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently considered overvalued. Key ratios supporting this assessment include a PE ratio of 37.90, an EV to EBITDA of 27.08, and a PEG ratio of 3.03, all of which are considerably high compared to industry norms.
In comparison with peers, Silgo Retail's PE ratio is notably lower than Avenue Super's 112.92 and Trent's 121.69, both of which are also categorized as very expensive. However, Silgo's valuation metrics suggest it is still at a premium compared to more attractively valued competitors like Medplus Health, which has a PE ratio of 55.92 and an EV to EBITDA of 20.47. The recent stock performance has outpaced the Sensex, with a year-to-date return of 102.68% compared to the Sensex's 5.18%, reinforcing the notion of overvaluation amidst strong market performance.