Is L&T Technology overvalued or undervalued?

As of 19 November 2025, the valuation grade for L&T Technology has moved from expensive to very expensive. This indicates that the company is currently overvalued. Key ratios supporting this conclusion include a PE ratio of 36.52, an EV to EBITDA ratio of 23.38, and a Price to Book Value of 7.54, all of which are significantly higher than those of its peers.
In comparison, TCS has a PE ratio of 22.64 and an EV to EBITDA of 15.92, while Infosys shows a PE ratio of 22.77 and an EV to EBITDA of 14.94, both indicating more attractive valuations relative to L&T Technology. Despite a recent positive stock performance with a 5.41% return over the past week compared to a 0.85% return for the Sensex, the longer-term outlook shows L&T Technology underperforming with a -14.06% return over the past year against the Sensex's 9.81%. This further reinforces the assessment that L&T Technology is overvalued in the current market.