Is Insolation Ener overvalued or undervalued?

As of 7 October 2025, the valuation grade for Insolation Ener has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued, with a PE ratio of 31.00, an EV to EBITDA of 21.83, and a PEG ratio of 0.26, suggesting strong growth potential relative to its price. Notably, the company's ROE stands at an impressive 27.82%, reflecting efficient use of equity.
In comparison to its peers, Insolation Ener's valuation metrics are significantly lower than those of Waaree Energies, which has a PE ratio of 44.06, and NTPC Green Energy, which boasts a staggering PE of 169.64. This positions Insolation Ener attractively within the industry, particularly given its robust ROCE of 101.17%. Despite recent underperformance with a year-to-date return of -53.9% compared to the Sensex's 4.85%, the current valuation suggests that the stock may offer a compelling investment opportunity moving forward.