Is Titan Company overvalued or undervalued?

As of 15 September 2025, Titan Company's valuation grade has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios supporting this conclusion include a PE ratio of 84.41, an EV to EBITDA ratio of 51.53, and a PEG ratio of 11.26, all of which are significantly higher than industry norms.
In comparison to its peers, Titan Company stands out with a much higher PE ratio than Kalyan Jewellers, which has a PE of 65.13, and PC Jeweller, which is at a much more attractive 14.88. This disparity highlights Titan's premium valuation relative to its competitors. Additionally, while Titan has shown strong returns over the past five years at 200.59%, its recent performance has lagged behind the Sensex, with a one-year return of -6.18% compared to -1.33% for the index, further reinforcing the notion of overvaluation.