Is Insolation Ener overvalued or undervalued?

As of 14 November 2025, the valuation grade for Insolation Ener has moved from expensive to fair. The company is currently fairly valued, with a price-to-earnings (PE) ratio of 30.46, an EV to EBITDA ratio of 21.42, and a PEG ratio of 0.26. Notably, Insolation Ener's return on capital employed (ROCE) stands at an impressive 101.17%, indicating strong operational efficiency.
In comparison to its peers, Insolation Ener's PE ratio is lower than Waaree Energies, which is valued at 35.63, and significantly lower than NTPC Green Energy's exorbitant PE of 169.64. This suggests that while Insolation Ener is fairly valued, its peers are trading at higher valuations, potentially indicating a more favorable investment opportunity. Despite recent stock performance lagging behind the Sensex, particularly with a year-to-date decline of 54.7% compared to the Sensex's 8.22% gain, the company's strong fundamentals may present a compelling case for future recovery.