Is Shalimar Wires overvalued or undervalued?

As of 4 July 2025, Shalimar Wires has moved from a fair to an attractive valuation grade. The company is currently considered undervalued, particularly when compared to its peers. Key ratios include a PE ratio of 45.37, an EV to EBITDA of 6.80, and a PEG ratio of 0.09, which indicates strong growth potential relative to its price.
In comparison to peers, Hindustan Zinc has a PE ratio of 18.05 and an EV to EBITDA of 10.91, while Vedanta shows a PE of 13.18 and an EV to EBITDA of 5.52. These ratios highlight that Shalimar Wires, despite its high PE, offers a more attractive growth outlook. Additionally, while the stock has underperformed the Sensex in the short term, it has significantly outperformed over the longer term, with a 3-year return of 144.02% compared to the Sensex's 56.73%.