Is Solarium Green overvalued or undervalued?

As of 17 October 2025, the valuation grade for Solarium Green has moved from expensive to fair, indicating a reassessment of its market position. The company is currently fairly valued, with a PE ratio of 36.57, an EV to EBITDA ratio of 25.90, and a ROCE of 18.87%. In comparison, its peers such as Waaree Energies and NTPC Green Energy are considered very expensive, with PE ratios of 37.64 and 172.11, respectively, highlighting Solarium Green's relatively better valuation.
Despite the recent stock performance lagging behind the Sensex, with a 1-week return of -5.59% compared to the Sensex's 1.76%, the company's financial metrics suggest it is positioned well within its industry. The PEG ratio stands at 0.00, indicating no growth expectations priced in, which could imply potential upside if the company can improve its growth outlook. Overall, Solarium Green appears to be fairly valued in the current market context.