Is Punjab Commun. overvalued or undervalued?

As of 25 April 2023, the valuation grade for Punjab Commun. has moved from does not qualify to risky. The company appears to be overvalued based on its current financial metrics, including a PE ratio of -76.01, an EV to EBITDA of -3.15, and a ROE of -3.99%. These figures indicate significant financial distress, particularly with negative earnings and returns on equity.
When compared to peers, Punjab Commun. stands out unfavorably; for instance, Indus Towers, classified as expensive, has a PE ratio of 10.58 and an EV to EBITDA of 5.93. In contrast, ITI is also risky but shows a more extreme PE ratio of -538.39, indicating severe losses. The overall assessment suggests that Punjab Commun. is overvalued, especially in light of its poor performance relative to the market, despite a recent stock return of 21.10% over the past month, which outperformed the Sensex's 3.84% return.