Is Energy-Mission overvalued or undervalued?

As of 24 September 2025, the valuation grade for Energy-Mission has moved from very expensive to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios include a PE ratio of 16.35, an EV to EBITDA of 10.63, and a ROCE of 17.55%.
In comparison to peers, Energy-Mission's PE ratio is significantly lower than that of Thermax, which stands at 58.88, and BEML Ltd, with a PE of 60.25, both classified as very expensive. The recent stock performance has been poor, with a year-to-date return of -43.41%, contrasting sharply with a Sensex return of 5.97% during the same period, further supporting the view that Energy-Mission is overvalued in the current market context.