Is Ador Welding overvalued or undervalued?

As of 14 August 2025, the valuation grade for Ador Welding has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The company is currently considered undervalued. Key ratios include a PE Ratio of 35.58, an EV to EBITDA of 21.23, and a ROCE of 19.94%.
In comparison to its peers, Ador Welding's PE Ratio is higher than Graphite India at 28.96 but lower than HEG at 49.46, suggesting a more favorable valuation relative to some competitors. Additionally, while Graphite India and HEG are categorized as very expensive, Ador Welding's PEG Ratio stands at 0.00, indicating strong growth potential without the associated high valuation. Despite recent stock performance lagging behind the Sensex, particularly over the past year with a return of -29.54% compared to the Sensex's 1.89%, the underlying fundamentals suggest that Ador Welding is positioned well for future growth.