Is D P Wires overvalued or undervalued?

As of 3 October 2025, D P Wires has moved from a valuation grade of very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued based on its financial ratios, with a PE ratio of 20.11, an EV to EBITDA of 19.83, and a Price to Book Value of 1.51. These figures suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, D P Wires' PE ratio is significantly lower than that of JSW Steel, which stands at 55.61, and Tata Steel at 44.55, both of which are rated fair. Additionally, the company's ROCE of 8.34% and ROE of 7.50% further highlight its underperformance relative to industry standards. Notably, D P Wires has experienced a year-to-date return of -26.98%, contrasting sharply with the Sensex's positive return of 3.93%, reinforcing the notion that the stock may be overvalued in the current market environment.