Is Airan overvalued or undervalued?

As of 18 November 2025, Airan's valuation grade has moved from attractive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, with a PE ratio of 113.27, an EV to EBIT of 19.82, and an EV to EBITDA of 13.62. In comparison to its peers, TCS has a PE ratio of 22.2, and Infosys stands at 21.95, both suggesting that Airan's valuation is substantially higher than these industry benchmarks.
The company's financial metrics, including a ROCE of 10.19% and a ROE of 1.57%, further highlight its overvaluation, especially when juxtaposed with peers like Wipro, which is rated very attractive with a PE of 18.7. Additionally, Airan's stock has underperformed against the Sensex, with a year-to-date return of -36.11% compared to the Sensex's gain of 8.36%, reinforcing the notion that the stock is not only overvalued but also struggling in the current market environment.