Is KPIT Technologi. overvalued or undervalued?

As of 18 July 2025, the valuation grade for KPIT Technologies has moved from expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE Ratio of 41.34, an EV to EBITDA of 27.38, and a ROE of 28.83%.
In comparison to its peers, KPIT Technologies has a higher PE Ratio than TCS, which stands at 23.42, and Infosys, which has a PE of 24.67. While KPIT's PEG Ratio of 1.00 aligns with its fair valuation, it is noteworthy that HCL Technologies is rated attractive with a PE of 24.76. Despite recent underperformance relative to the Sensex, with a year-to-date return of -13.7% compared to the Sensex's 4.63%, the long-term outlook remains strong with a 3-year return of 151.52%.