Is Infosys overvalued or undervalued?

As of 27 October 2025, Infosys has moved from a fair to an attractive valuation grade. The company is currently considered undervalued, with a PE ratio of 22.23, an EV to EBITDA of 5.30, and a Price to Book Value of 0.61. These metrics suggest that the stock is trading at a reasonable valuation compared to its earnings and asset base. In comparison to peers, TCS has a PE ratio of 22.19 and an EV to EBITDA of 8.85, while HCL Technologies shows a higher PE ratio of 24.54 and an EV to EBITDA of 6.17. This indicates that Infosys is competitively priced within its industry. Notably, despite a recent stock return of 2.96% over the past week compared to the Sensex's 0.49%, the year-to-date performance shows a decline of 19.99%, highlighting potential for recovery as market conditions improve.