Is Hawa Engineers overvalued or undervalued?

As of 17 October 2025, Hawa Engineers has moved from an attractive to a very attractive valuation grade. The company is currently undervalued, supported by a PE ratio of 15.02, an EV to EBITDA of 7.40, and a PEG ratio of 0.41, indicating strong growth potential relative to its price.
In comparison to its peers, Hawa Engineers stands out favorably against Thermax, which has a PE ratio of 55.98, and BEML Ltd, with a PE ratio of 61.47, both of which are considered expensive. The company's return on capital employed (ROCE) is 18.04%, and return on equity (ROE) is 13.62%, further highlighting its operational efficiency. Despite recent stock performance lagging behind the Sensex, particularly with a year-to-date decline of 48.89% compared to the Sensex's gain of 7.44%, the underlying valuation metrics suggest that Hawa Engineers presents a compelling investment opportunity.