Is Birla Cable overvalued or undervalued?

As of 14 August 2025, Birla Cable's valuation grade has moved from attractive to very attractive, indicating a positive shift in its market perception. The company is currently considered undervalued, especially when compared to its peers. Key ratios include a PE ratio of 75.98, an EV to EBITDA of 17.55, and a PEG ratio of 0.00, which suggests that the stock may be undervalued relative to its growth prospects.
In comparison, Polycab India, which is classified as very expensive, has a PE ratio of 47.31 and an EV to EBITDA of 31.70, while Havells India, rated as fair, has a PE ratio of 65.68 and an EV to EBITDA of 43.24. This places Birla Cable in a favorable light against its competitors, as it maintains a higher valuation grade with lower relative ratios. Despite recent underperformance compared to the Sensex, with a year-to-date return of -27.85% versus the Sensex's 3.15%, the valuation metrics suggest that Birla Cable presents a compelling investment opportunity.