Is HRH Next overvalued or undervalued?

As of 25 September 2025, the valuation grade for HRH Next has moved from expensive to fair. The company is currently fairly valued given its financial metrics and market position. Key ratios include a PE ratio of 12.72, an EV to EBITDA of 5.63, and a PEG ratio of 0.67, indicating a potentially attractive valuation relative to its earnings growth expectations.
In comparison to peers, HRH Next's PE ratio is significantly lower than that of TCS, which stands at 21.74, and Infosys at 22.62, both of which are considered attractive. Additionally, HRH Next's EV to EBITDA ratio is also more favorable compared to the industry average, suggesting it may be undervalued relative to its earnings potential. The recent stock performance has been notably poor, with a year-to-date return of -70.42% compared to a 5.27% gain in the Sensex, reinforcing the notion that the stock may be undervalued in the current market environment.