Is Thyrocare Tech. overvalued or undervalued?

As of 25 June 2025, the valuation grade for Thyrocare Tech. has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently considered overvalued based on its high valuation metrics, including a PE ratio of 57.28, a Price to Book Value of 9.60, and an EV to EBITDA of 26.70.
In comparison to its peers, Thyrocare's valuation stands out, particularly against Max Healthcare, which has a PE of 106.26, and Apollo Hospitals, with a PE of 70.07. This suggests that Thyrocare's stock is trading at a premium relative to the industry, despite its robust ROCE of 35.59% and ROE of 16.76%. While Thyrocare has outperformed the Sensex over the past year with a return of 56.78% compared to the Sensex's 6.02%, the current valuation metrics indicate that the stock is overvalued in the context of its financial performance and peer comparisons.