Is Agni Green overvalued or undervalued?

As of 22 September 2025, Agni Green's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. However, the company remains overvalued in the current market context. Key ratios highlight this, with a PE ratio of 57.04, an EV to EBITDA of 24.30, and a PEG ratio of 0.87, all suggesting that the stock is priced significantly higher than its earnings growth potential.
When compared to peers, Agni Green's valuation stands out unfavorably; for instance, NTPC, which is rated attractive, has a PE ratio of 13.75 and an EV to EBITDA of 10.79. Additionally, Tata Power Co. is also rated attractive with a PE of 30.59 and an EV to EBITDA of 12.33. The stark contrast in these ratios underscores Agni Green's overvaluation. Despite a recent one-week stock return of 3.91% compared to the Sensex's 0.53%, the longer-term performance shows a decline of 25.98% year-to-date, reinforcing the notion that the stock is not aligned with its intrinsic value.