Is Hathway Cable overvalued or undervalued?

As of 17 October 2025, Hathway Cable's valuation grade has moved from expensive to fair, indicating a shift in its perceived value. The company is currently fairly valued based on its financial metrics, despite some concerning ratios. The PE ratio stands at 24.38, while the EV to EBITDA ratio is notably negative at -60.63, reflecting significant operational challenges. Additionally, the Price to Book Value is extremely low at 0.05, suggesting that the market is undervaluing the company's assets.
In comparison to its peers, Hathway Cable's valuation appears more stable than that of Den Networks, which has a PE ratio of 8.33, and Dish TV India, which is loss-making with a PE ratio of 1.51. While Hathway's ratios indicate some risk, it is positioned better than these peers, which are classified as risky. Furthermore, Hathway Cable's stock has underperformed relative to the Sensex, with a year-to-date return of -13.92% compared to the Sensex's 7.44%, reinforcing the notion that the stock may be undervalued in the current market environment.