Is MOS Utility overvalued or undervalued?

As of 18 September 2025, the valuation grade for MOS Utility has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios highlight this assessment: the PE ratio stands at 53.52, the Price to Book Value is 7.75, and the EV to EBIT is 39.53.
In comparison to its peers, MOS Utility's valuation metrics are notably high; for instance, Poly Medicure has a PE ratio of 58.4, while Blue Jet Health shows a more favorable PE of 33.06. Despite its strong ROCE of 21.98% and ROE of 14.47%, the elevated valuation ratios suggest that the market may be pricing in excessive growth expectations. Additionally, over the past year, MOS Utility has underperformed the Sensex, with a return of -11.83% compared to the index's modest gain of 0.18%.