Is Plaza Wires overvalued or undervalued?

As of 12 June 2025, Plaza Wires has moved from an attractive to a fair valuation grade. The company appears to be overvalued based on its current financial metrics. Key ratios include a PE ratio of 96.03, an EV to EBITDA ratio of 38.19, and a ROE of 2.36%.
When compared to peers, Plaza Wires' valuation stands out as expensive; for instance, Havells India has a PE of 66.23 and an EV to EBITDA of 44.33, while R R Kabel, which is also rated fair, has a PE of 49.67 and an EV to EBITDA of 31.90. Additionally, Plaza Wires has underperformed significantly over the past year, with a stock return of -29.41% compared to a 6.64% gain in the Sensex, reinforcing the notion that it is currently overvalued.