Is Hindustan Hardy overvalued or undervalued?

As of 12 November 2025, Hindustan Hardy's valuation grade has moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE Ratio of 19.11, an EV to EBITDA of 13.62, and a ROE of 29.74%.
In comparison to its peers, Hindustan Hardy's PE Ratio is significantly lower than that of Samvardhan Motherson, which stands at 32.72, and it also lags behind Bosch, which has a PE of 48.27. The company's PEG Ratio of 0.16 suggests potential for growth, but its current valuation does not reflect this adequately. Despite a strong performance over the past three years with a return of 348.18%, the recent stock performance has underperformed against the Sensex in the short term, reinforcing the notion that the stock may be overvalued at its current price of 1120.00.