Is Alpex Solar overvalued or undervalued?

As of 4 November 2025, Alpex Solar's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued. Key ratios include a PE ratio of 37.65, an EV to EBITDA of 23.21, and a Price to Book Value of 0.66, which suggest that while the company has a low book value relative to its market price, its earnings multiples remain high compared to industry norms.
In comparison to its peers, Alpex Solar's PE ratio is significantly lower than Siemens Energy Industries at 118.28 and ABB at 61.77, both categorized as very expensive. However, it is higher than Apar Industries, which is fairly valued at a PE of 35.66. Notably, Alpex Solar has outperformed the Sensex in the past year, with a stock return of 48.41% compared to the Sensex's 6.68%, reinforcing the notion that while the stock may be overvalued, it has been a strong performer relative to broader market indices.