Is Havells India overvalued or undervalued?

As of 22 August 2025, Havells India has moved from a fair valuation to an expensive rating. The company is currently considered overvalued based on its high valuation metrics. Key ratios include a PE Ratio of 69.00, an EV to EBITDA of 45.49, and a PEG Ratio of 48.23, all of which indicate a premium pricing relative to earnings and growth expectations.
In comparison to its peers, Havells India has a higher PE Ratio than Polycab India, which stands at 48.24, and KEI Industries at 50.98, both of which are also classified as expensive. Notably, R R Kabel and Finolex Cables are valued more attractively with PE Ratios of 40.78 and 20.98, respectively. Additionally, while Havells India has experienced a strong return of 145.63% over the past five years, its recent performance has lagged behind the Sensex, with a year-to-date decline of 7.22% compared to the Sensex's gain of 4.05%.