Is Sita Enterprises overvalued or undervalued?

As of 17 October 2025, the valuation grade for Sita Enterprises has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently considered overvalued. Key ratios include a PE ratio of 26.23, an EV to EBIT of 21.39, and a ROCE of 41.86%.
In comparison to peers, Sita Enterprises has a much higher PE ratio than Life Insurance, which stands at 11.49, and a lower PEG ratio than Bajaj Finance, which is at 2.37. This suggests that while Sita Enterprises has strong returns, its valuation metrics are not justified when compared to its peers. Recent stock performance shows that Sita Enterprises has outperformed the Sensex significantly over the past year, with a return of 90.73% compared to the Sensex's 3.64%, reinforcing its current overvalued status.