Is Bajaj Electrical overvalued or undervalued?

As of 15 October 2025, Bajaj Electrical's valuation grade has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued, particularly when compared to its peers. Key ratios include a PE ratio of 68.28, an EV to EBITDA of 24.03, and a Price to Book Value of 3.66, which suggest that while the company has a high valuation, it may still offer potential upside relative to its current price.
In comparison with its peers, Bajaj Electrical's PE ratio is lower than that of Metro Brands, which stands at 91.93, and is also more attractive than V-Guard Industries at 53.43. Despite a challenging year with a YTD stock return of -29.35%, the company's recent performance has outpaced the Sensex's 1-week return of 2.65%, reinforcing the notion that it may be undervalued in the current market environment.