Is Hathway Cable overvalued or undervalued?

As of 16 October 2025, the valuation grade for Hathway Cable has moved from fair to expensive, indicating a significant shift in its market perception. The company is currently overvalued, with a PE ratio of 24.67, an EV to EBITDA ratio of 0.83, and a PEG ratio of 0.00. In comparison to its peers, Den Networks has a PE ratio of 8.26, while Dish TV India, which is loss-making, has an EV to EBITDA of 1.56. These ratios highlight that Hathway Cable is trading at a premium compared to its more financially stable competitors.
Furthermore, Hathway Cable's financial performance is concerning, with a ROCE of just 0.21% and an ROE of 2.14%. The company's stock has underperformed significantly against the Sensex, with a year-to-date return of -12.91% compared to the Sensex's 6.82%. This underperformance, coupled with its high valuation metrics, reinforces the conclusion that Hathway Cable is overvalued in the current market environment.