Is Swaraj Suiting overvalued or undervalued?

As of 17 September 2025, Swaraj Suiting's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued. Key ratios include a PE Ratio of 11.69, an EV to EBITDA of 7.71, and a ROE of 32.48%.
In comparison to its peers, Swaraj Suiting's PE Ratio is significantly lower than K P R Mill Ltd, which stands at 45.93, and also lower than Trident's PE of 35.01, both of which are categorized as expensive or very expensive. Despite its strong ROCE of 22.29%, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -21.22% compared to the Sensex's 7.13%. This suggests that while the company has solid fundamentals, its current market price does not reflect its potential, reinforcing the view that it is overvalued.