Is Alphalogic Indu overvalued or undervalued?

As of 12 September 2025, the valuation grade for Alphalogic Indu has moved from fair to attractive, indicating a more favorable outlook for the company. The company is currently deemed undervalued, supported by a PE ratio of 45.28, an EV to EBITDA ratio of 42.22, and a PEG ratio of 1.83. These ratios suggest that while the stock is trading at a premium compared to its earnings, it is more reasonably priced in relation to its growth potential.
In comparison to peers, Alphalogic Indu's valuation metrics stand out; for instance, Rail Vikas has a significantly higher PE ratio of 59.18, while Ircon International, another attractive peer, has a much lower PE at 24.29. This indicates that Alphalogic Indu offers a more compelling investment opportunity relative to its peers in the industry. Despite recent underperformance with a year-to-date return of -51.13% compared to the Sensex's 4.82%, the attractive valuation suggests potential for recovery and growth moving forward.