Blue Star Adjusts Valuation Amidst Competitive Electronics Sector Landscape

Blue Star, a midcap player in the Electronics & Appliances sector, has recently undergone a valuation adjustment. The company's current price stands at 1,777.00, reflecting a slight increase from the previous close of 1,753.05. Over the past year, Blue Star has experienced a return of -0.87%, contrasting with a 5.09% return from the Sensex, indicating a lag in performance relative to the broader market.
Key financial metrics reveal a PE ratio of 68.05 and an EV to EBITDA ratio of 47.06, which are significant indicators of the company's valuation. The PEG ratio is noted at 32.66, while the dividend yield remains modest at 0.51%. Return on Capital Employed (ROCE) and Return on Equity (ROE) are recorded at 2.01% and 1.73%, respectively, suggesting challenges in generating returns relative to capital employed and equity.

In comparison to its peer, Voltas, which is positioned at a higher valuation level, Blue Star's metrics highlight a competitive landscape within the industry. Voltas has a PE ratio of 68.47 and an EV to EBITDA of 50.70, indicating a tighter valuation environment among key players in the sector.