Is St Bk of India overvalued or undervalued?

As of 23 June 2025, the valuation grade for State Bank of India has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 9.95, a Price to Book Value of 1.60, and a PEG ratio of 1.42.
When compared to its peers, State Bank of India stands out with a PE ratio higher than Bank of Baroda at 6.18 and Punjab National Bank at 7.18, both of which are rated very attractive. Additionally, the bank's return on equity (ROE) is a solid 16.07%, indicating effective management of equity. Despite recent underperformance relative to the Sensex, particularly in the year-to-date and one-year periods, the long-term returns over three and five years have been significantly strong, suggesting potential for recovery and growth.