Is Swaraj Suiting overvalued or undervalued?

As of 1 October 2025, the valuation grade for Swaraj Suiting has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 10.96, an EV to EBITDA of 8.42, and a ROE of 21.84%.
When compared to peers, Swaraj Suiting's valuation stands out as it is significantly higher than Vardhman Textile, which has a PE ratio of 13.96, and Trident, with a PE ratio of 33.1. Despite a strong historical return of 580.12% over three years, the recent performance shows a decline, with a year-to-date return of -25.95%, contrasting sharply with the Sensex's positive return of 5.04% in the same period. This further reinforces the conclusion that Swaraj Suiting is overvalued in the current market environment.