Is Lak. Electrical overvalued or undervalued?

As of 14 November 2025, the valuation grade for Lak. Electrical has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 49.92, an EV to EBITDA ratio of 46.23, and a Price to Book Value of 0.71. In comparison to its peers, Larsen & Toubro is rated attractive with a PE of 34.27 and an EV to EBITDA of 18.08, while CG Power & Ind is considered very expensive with a PE of 109.59.
Despite its fair valuation, Lak. Electrical has underperformed in recent stock returns, with a year-to-date decline of 36.14% compared to a 8.22% increase in the Sensex. This underperformance may suggest that the market has not fully recognized the fair valuation of the company, especially in light of its relatively high PE ratio compared to peers.