Is Niks Technology overvalued or undervalued?

As of 26 September 2025, Niks Technology has moved from a fair to an expensive valuation grade. The company is currently considered overvalued based on its financial ratios. The PE ratio stands at 21.69, while the EV to EBITDA ratio is 19.33, and the PEG ratio is notably low at 0.55, indicating potential overvaluation relative to growth expectations. In comparison to its peers, TCS has a PE ratio of 21.3 and an EV to EBITDA of 14.97, while HCL Technologies shows a PE of 22.3 and an EV to EBITDA of 13.83, both suggesting that Niks Technology is trading at a premium. Additionally, the company's recent stock performance has underperformed the Sensex, with a year-to-date return of -6.47% compared to the Sensex's 2.93%, reinforcing the notion that the stock may be overvalued in the current market context.