Is Ircon Intl. overvalued or undervalued?

As of 22 August 2025, the valuation grade for Ircon International has moved from attractive to fair. The company is currently fairly valued, with a PE ratio of 24.11, an EV to EBITDA of 19.16, and a dividend yield of 1.72%. In comparison to its peers, Rail Vikas is considered expensive with a PE ratio of 56.64, while Power Mech Projects is rated attractive with a PE of 31.85, indicating that Ircon's valuation is more reasonable within the context of its industry.
Despite the recent stock performance showing a 3.54% return over the past week compared to a 0.88% increase in the Sensex, the year-to-date return of -20.35% highlights a significant underperformance relative to the broader market. Overall, while Ircon International is fairly valued based on its current ratios and peer comparisons, the recent declines in stock price suggest caution for potential investors.