Is Zinema Media overvalued or undervalued?

As of 1 September 2025, Zinema Media's valuation grade has moved from risky to very expensive, indicating a significant deterioration in its perceived value. The company is currently assessed as overvalued. Key ratios include a PE ratio of 7.84, an EV to EBITDA of 4.91, and a PEG ratio of 2.20, all of which suggest that the stock is trading at a premium compared to its earnings growth potential.
In comparison to its peers, Zinema Media's PE ratio is substantially lower than that of Solar Industries, which stands at 101.13, and Godrej Industries, which has a PE of 41.08, indicating that while Zinema Media is classified as very expensive, it still lags behind its more highly valued competitors. Additionally, the company's recent stock performance has been poor, with a year-to-date return of -16.58%, contrasting sharply with the Sensex's positive return of 2.85% in the same period, further reinforcing the notion that Zinema Media is overvalued.