Is Sigma Solve overvalued or undervalued?

As of 9 July 2025, Sigma Solve's valuation grade has moved from fair to very attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued based on its financial metrics. Key ratios include a PE Ratio of 19.91, an EV to EBITDA of 14.44, and a ROE of 38.62%, which suggest strong profitability and efficient capital use.
In comparison to its peers, Sigma Solve's PE Ratio is significantly lower than TCS at 25.22 and Infosys at 25.4, both of which are considered attractive and fair, respectively. This positions Sigma Solve favorably within the industry, especially given its robust ROCE of 60.20%. Despite a recent decline in stock price, with a 1-year return of -13.17% compared to the Sensex's 3.96%, the overall valuation metrics indicate that Sigma Solve presents a compelling investment opportunity at its current price of 369.75.