Is Plaza Wires overvalued or undervalued?

As of 1 October 2025, Plaza Wires has moved from an expensive to a fair valuation grade. The company is currently fairly valued, with a PE ratio of 72.03, an EV to EBITDA of 30.05, and a Price to Book Value of 1.93. Compared to its peers, Polycab India is considered very expensive with a PE of 49.95, while Havells India is also fairly valued at a PE of 65.95.
Despite its fair valuation, Plaza Wires has underperformed relative to the Sensex, showing a year-to-date return of -29.5% compared to the Sensex's 3.64%. This underperformance, along with a low ROCE of 4.08% and ROE of 2.68%, suggests that while the stock is currently fairly valued, there may be concerns regarding its growth prospects and operational efficiency compared to its peers.