Is HRH Next overvalued or undervalued?

As of 6 November 2025, the valuation grade for HRH Next has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently deemed overvalued based on its key financial ratios, including a PE ratio of 13.35, an EV to EBITDA ratio of 5.86, and a PEG ratio of 0.70. These figures suggest that HRH Next is trading at a premium compared to its earnings growth potential.
In comparison to its peers, HRH Next's valuation appears less favorable; for instance, TCS has a PE ratio of 21.66 and an EV to EBITDA of 8.47, while Infosys maintains a PE ratio of 21.66 with an EV to EBITDA of 4.9. Furthermore, HRH Next's recent stock performance has been significantly underwhelming, with a year-to-date return of -68.95%, contrasting sharply with the Sensex's gain of 7.89% during the same period. This combination of high valuation and poor performance reinforces the conclusion that HRH Next is overvalued in the current market environment.