Is IZMO overvalued or undervalued?

As of 17 November 2025, IZMO's valuation grade has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued based on its financial ratios, with a PE Ratio of 42.77, an EV to EBITDA of 31.42, and a Price to Book Value of 3.55. These figures suggest that IZMO is trading at a premium compared to its peers, such as TCS, which has a PE Ratio of 22.32 and an EV to EBITDA of 15.69, and Infosys, with a PE Ratio of 22.23 and an EV to EBITDA of 14.57.
In comparison to the broader market, IZMO's recent stock performance has outpaced the Sensex, with a year-to-date return of 63.27% compared to the Sensex's 8.72%. However, despite this strong performance, the high valuation ratios indicate that investors may be overestimating the company's future growth potential, reinforcing the conclusion that IZMO is overvalued in the current market environment.