Is P.E. Analytics overvalued or undervalued?

As of 17 September 2025, the valuation grade for P.E. Analytics has moved from fair to very attractive, indicating a significant improvement in its perceived value. The company is currently assessed as undervalued, particularly when considering its P/E ratio of 15.87, EV/EBITDA of 9.85, and ROE of 14.39%. In comparison, TCS, a peer, has a P/E ratio of 23.3, while Infosys stands at 23.21, highlighting the relative attractiveness of P.E. Analytics' valuation.
Furthermore, P.E. Analytics' PEG ratio of 1.03 suggests that it is reasonably priced for its growth potential, especially when compared to Wipro, which has a PEG of 0.98, and HCL Technologies with a PEG of 7.05. Despite recent stock performance showing a decline of 32.07% over the past year compared to a slight gain in the Sensex, the company's strong fundamentals and attractive valuation metrics suggest it is well-positioned for future growth.