Is Innovative Ideal overvalued or undervalued?

As of 8 August 2025, the valuation grade for Innovative Ideal has moved from very expensive to risky, indicating a significant shift in its perceived value. The company is currently considered overvalued. Key ratios include a PE ratio of 25.51, an EV to EBITDA ratio of 45.15, and a ROE of 42.98%.
In comparison to its peers, Innovative Ideal's PE ratio is notably higher than that of PTC India, which stands at 8.33, and significantly above Rashi Peripheral's PE of 8.71. The PEG ratio of 0.18 suggests that the stock may be undervalued relative to its growth potential, but the overall high valuation ratios indicate that the stock is not a favorable investment at this time. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -22.69% compared to the Sensex's positive return of 2.20%.