Is Niks Technology overvalued or undervalued?

As of 17 October 2025, the valuation grade for Niks Technology has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 48.00, an EV to EBIT of 19.24, and a ROCE of 16.74%. In comparison to its peers, TCS has a significantly lower PE ratio of 21.31, while Infosys also maintains a fair valuation with a PE of 21.29, highlighting that Niks Technology's valuation is on the higher end within its industry.
Despite the fair valuation, Niks Technology's recent stock performance has lagged behind the Sensex, particularly in the year-to-date period, where it has returned -6.86% compared to the Sensex's 7.44%. This underperformance may suggest that while the company is fairly valued based on its ratios, market sentiment could be impacting its stock price negatively.