Is Havells India overvalued or undervalued?

As of 3 November 2025, Havells India has moved from a fair to an expensive valuation grade. The company is currently considered overvalued, with a PE ratio of 64.29, an EV to EBITDA ratio of 37.61, and a PEG ratio of 17.67. In comparison to its peers, Polycab India has a PE ratio of 46.63 and an EV to EBITDA of 31.04, while KEI Industries shows a PE of 48.15 and an EV to EBITDA of 22.69, indicating that Havells India is trading at a premium relative to these competitors.
Despite a recent stock performance that has outpaced the Sensex over the past week, the longer-term outlook shows a decline, with a year-to-date return of -10.48% compared to the Sensex's 7.47%. This underperformance, coupled with the high valuation ratios, reinforces the conclusion that Havells India is overvalued in the current market context.