Is Valor Estate overvalued or undervalued?

As of 17 November 2025, Valor Estate's valuation grade has moved from risky to very expensive, indicating a significant deterioration in its perceived value. The company is currently overvalued, with a staggering PE ratio of -2045.47, an EV to EBITDA of 473.96, and a Price to Book Value of 1.88. These ratios suggest that the market is pricing the stock excessively high relative to its earnings and operational performance.
In comparison to its peers, Valor Estate stands out with its extreme PE ratio, while DLF and Lodha Developers have PE ratios of 43.02 and 36.61, respectively, indicating that they are valued much more reasonably. Additionally, the company's return metrics are concerning, with a ROCE of just 0.06% and a negative ROE of -0.09%. Recent performance shows that Valor Estate has underperformed the Sensex significantly over the past year, with a stock return of -12.09% compared to the Sensex's 9.50%. This further reinforces the conclusion that Valor Estate is overvalued in the current market.