Is Speciality Rest. overvalued or undervalued?

As of 13 June 2025, the valuation grade for Speciality Restaurant has moved from fair to expensive, indicating a shift in its perceived value. Based on the analysis, the company is currently overvalued. Key ratios include a PE Ratio of 28.80, an EV to EBITDA of 8.29, and a Price to Book Value of 1.91, which suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Speciality Restaurant's PE ratio is significantly lower than that of Page Industries at 70.52 and Jubilant Food at 199.74, both of which are categorized as very expensive. Additionally, the company’s ROCE stands at 7.78% and ROE at 6.64%, which are relatively low compared to the industry standards. Despite a recent decline in stock performance, with a year-to-date return of -7.88% versus a positive 3.81% for the Sensex, the valuation metrics indicate that Speciality Restaurant is not a compelling investment at its current price of 129.70.