Is Manav Infra overvalued or undervalued?

As of 30 June 2025, the valuation grade for Manav Infra has moved from risky to does not qualify, indicating a significant shift in its perceived investment quality. Based on the analysis, the company appears to be undervalued. Key ratios supporting this conclusion include a PE ratio of 7.70, an EV to EBIT of 5.59, and a PEG ratio of 0.17, which suggests that the stock is trading at a discount relative to its earnings growth potential.
In comparison to its peers, Manav Infra's valuation metrics stand out, particularly when contrasted with Rail Vikas, which has a PE ratio of 64.72, and Tube Investments, with a PE ratio of 88.63. This stark difference highlights the relative undervaluation of Manav Infra in its industry. Additionally, while the stock has experienced a decline of 4.8% over the past week, it has outperformed the Sensex over the longer term, with a remarkable 314.29% return over the last five years, reinforcing the potential for future growth.