Is Five Core Elect. overvalued or undervalued?

As of 25 April 2023, the valuation grade for Five Core Electronics has moved from does not qualify to risky. The company is currently assessed as undervalued, given its PE ratio of 12.14, EV to EBITDA of 7.32, and ROCE of 16.73%. In comparison to its peers, Dixon Technologies is deemed expensive with a PE ratio of 122.81, while Crompton Greaves Consumer Electricals is considered attractive with a PE of 40.79, highlighting Five Core's relative affordability in the market.
Despite the company's current valuation metrics suggesting it is undervalued, it is important to note that it has not shown returns in the past year compared to the Sensex, which has returned 7.87%. This could indicate potential challenges in market perception or company performance that investors should consider. Overall, Five Core Electronics presents a compelling investment opportunity relative to its peers, but caution is advised due to its risky classification.