Is Quest Flow overvalued or undervalued?

As of 14 October 2025, the valuation grade for Quest Flow has moved from very expensive to expensive. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE ratio of 38.50, an EV to EBITDA of 20.79, and a Price to Book Value of 3.64, which are significantly higher than many peers in the industry.
In comparison, PTC India, which is rated very attractive, has a PE ratio of 7.85 and an EV to EBITDA of 4.15, highlighting the disparity in valuation between Quest Flow and its peers. Additionally, Elitecon International is classified as very expensive with a PE ratio of 378.51, further emphasizing that Quest Flow, while expensive, is not the highest in its category. The company's stock has underperformed significantly, with a year-to-date return of -58.66% compared to a 4.98% return for the Sensex, reinforcing the notion that it is overvalued at its current price of 238.00.