Is Thakkers Develp. overvalued or undervalued?

As of 17 November 2025, Thakkers Development has moved from an expensive to a very expensive valuation grade. The company is currently overvalued based on its financial ratios and peer comparison. The PE ratio stands at 22.64, while the EV to EBITDA ratio is significantly high at 42.93. Additionally, the ROCE is a mere 3.49%, indicating poor capital efficiency.
In comparison to its peers, Thakkers Development's valuation appears excessive; for instance, DLF has a PE ratio of 43.02 and an EV to EBITDA of 93.34, while Lodha Developers shows a PE of 36.61 and an EV to EBITDA of 27.38. Despite being in the same industry, Thakkers Development's ratios suggest it is not just expensive but very expensive relative to its competitors. Furthermore, the company's stock has underperformed against the Sensex, with a year-to-date return of -22.73% compared to the Sensex's 8.72%, reinforcing the notion of overvaluation.