Is Urban Enviro overvalued or undervalued?

As of 6 October 2025, the valuation grade for Urban Enviro has moved from very expensive to expensive, indicating a slight improvement in perceived value. However, the company is still considered overvalued based on its current metrics. The price-to-earnings (PE) ratio stands at 13.80, while the price-to-book value is significantly higher at 4.44. Additionally, the EV to EBITDA ratio is 6.03, which, while lower than some peers, still suggests a premium valuation.
In comparison to its peers, Urban Enviro's PE ratio is notably lower than Altius Telecom's 54.74 and Embassy Off.REIT's 24.87, both categorized as very expensive. Furthermore, Urban Enviro's PEG ratio of 0.30 is attractive, yet it does not offset the overall high valuation relative to its earnings and growth prospects. Despite a recent stock return of 2.03% over the past week, which outperformed the Sensex's 1.80%, the year-to-date decline of 48.98% highlights significant challenges ahead, reinforcing the conclusion that Urban Enviro is overvalued in its current state.