Is Orchasp Ltd overvalued or undervalued?
As of November 14, 2024, Orchasp Ltd is considered overvalued and risky, with a PE ratio of -8.92 and an EV to EBITDA of -8.62, significantly underperforming compared to peers like TCS and Infosys, and has returned -9.12% over the past year against the Sensex's 7.58%.
As of 14 November 2024, the valuation grade for Orchasp Ltd has moved from expensive to risky. The company is currently assessed as overvalued. Key ratios indicate significant financial distress, with a PE ratio of -8.92, an EV to EBITDA of -8.62, and a ROCE of -9.74%. In comparison to its peers, Orchasp Ltd's valuation metrics starkly contrast with TCS, which has a PE ratio of 25.23 and an EV to EBITDA of 17.63, and Infosys, with a PE ratio of 24.32 and an EV to EBITDA of 15.83. This highlights the substantial gap in valuation and performance. Additionally, Orchasp Ltd's stock has underperformed against the Sensex over the past year, with a return of -9.12% compared to the Sensex's 7.58%, reinforcing the notion that the company is overvalued in its current state.
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