Is Prostarm Info overvalued or undervalued?

As of 17 October 2025, Prostarm Info's valuation grade has moved from very expensive to expensive, indicating a slight improvement in perceived value. However, the company is still considered overvalued. Key ratios include a PE Ratio of 34.50, an EV to EBITDA of 23.63, and a ROE of 26.01%. When compared to peers, Prostarm Info's PE Ratio is significantly higher than Apar Industries, which has a PE of 39.48, and much lower than Siemens Energy, which stands at 113.01.
Despite the recent decline in stock price, with a 1-month return of -19.82% compared to a Sensex return of 1.52%, the valuation metrics suggest that Prostarm Info remains overvalued in its current market context. The high PE and EV ratios indicate that investors may be paying a premium for the stock relative to its earnings and cash flow generation capabilities.