Is Megatherm Indu. overvalued or undervalued?

As of 26 September 2025, the valuation grade for Megatherm Indu. has moved from very attractive to attractive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 25.08, an EV to EBITDA of 14.30, and a ROCE of 26.91%.
In comparison to its peers, Megatherm Indu. has a higher PE ratio than Ircon International, which stands at 23.89, and a significantly lower EV to EBITDA than Rail Vikas, which is at 72.2. Additionally, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -12.21% compared to the Sensex's 4.27%.