Is Infibeam Avenues overvalued or undervalued?

As of 18 July 2025, the valuation grade for Infibeam Avenues has moved from attractive to very attractive, indicating a significant positive shift in its valuation outlook. The company appears to be undervalued at its current price of 15.93, especially when considering its PE ratio of 24.98, EV to EBITDA of 17.76, and a PEG ratio of 2.02. These ratios suggest that while the company is growing, it may not be fully reflected in its stock price.
In comparison to peers, Infibeam Avenues has a higher PE ratio than TCS (23.42) and HCL Technologies (24.76), both of which are rated as attractive. However, it is important to note that its PEG ratio is significantly lower than that of Infosys (14.12), which is rated as fair. This indicates that Infibeam Avenues may offer better growth potential relative to its price compared to some of its peers. Despite recent underperformance against the Sensex, with a year-to-date return of -38.82% compared to the Sensex's 4.63%, the valuation metrics suggest that Infibeam Avenues is positioned for potential upside.