Is Supra Pacific overvalued or undervalued?

As of 7 November 2025, the valuation grade for Supra Pacific has moved from fair to expensive, indicating a shift in its market perception. The company is currently considered overvalued. Key ratios include a PE ratio of 41.68, an EV to EBITDA of 10.86, and a PEG ratio of 0.71, which suggests that while growth expectations may be factored in, the current valuation does not align with the company's earnings performance.
In comparison to its peers, Supra Pacific's PE ratio stands higher than Bajaj Finserv at 35.3 and significantly above Life Insurance, which is valued attractively with a PE of 11.44. This disparity highlights that Supra Pacific's valuation may not be justified given its lower return metrics, such as a ROCE of 5.21% and ROE of 3.55%. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -11.24% compared to the Sensex's 6.50%, reinforcing the notion that the stock is overvalued in the current market environment.