Is Jigar Cables overvalued or undervalued?
As of August 12, 2025, Jigar Cables is considered very expensive and overvalued with a PE ratio of 30.62, despite outperforming the Sensex year-to-date, indicating that its premium valuation may not be justified by its earnings potential compared to peers.
As of 12 August 2025, the valuation grade for Jigar Cables has moved from risky to very expensive, indicating a significant shift in its market perception. The company is currently deemed overvalued based on its financial metrics. Key ratios include a PE ratio of 30.62, an EV to EBIT of 15.32, and a ROCE of 18.58%. In comparison to its peers, Jigar Cables' PE ratio is lower than that of Polycab India at 46.13 and Havells India at 65.04, yet it remains high relative to more attractively valued companies like Finolex Cables, which has a PE of 18.33. Despite a strong return of 12.24% year-to-date compared to the Sensex's 2.68%, the overall valuation suggests that Jigar Cables is trading at a premium that may not be justified by its earnings potential.
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