Is Addictive Learn overvalued or undervalued?

As of 29 August 2025, the valuation grade for Addictive Learn has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently assessed as undervalued, supported by a PE ratio of 23.64, an EV to EBITDA of 10.37, and a PEG ratio of 0.48, which suggests strong growth potential relative to its price.
In comparison to its peers, Addictive Learn's valuation metrics stand out, particularly against Shanti Education, which has a PE ratio of 257.41 and an EV to EBITDA of 242.38, indicating it is very expensive. Additionally, Zee Learn, another peer, has a much lower PE ratio of 14.89 and an EV to EBITDA of 6.16, yet is also classified as very attractive. Despite recent stock performance lagging behind the Sensex, with a year-to-date return of -59.96% compared to the Sensex's 3.31%, the underlying financial ratios suggest that Addictive Learn presents a compelling investment opportunity at its current price of 144.95.