Is Sterlite Tech. overvalued or undervalued?

As of 7 November 2025, the valuation grade for Sterlite Technologies has moved from expensive to attractive, indicating a significant shift in its perceived value. The company is currently considered undervalued. Key ratios include a PE ratio of 1398.78, an EV to EBITDA of 25.08, and a Price to Book Value of 0.27, which suggests that the market may not fully recognize the company's potential.
In comparison to peers, Sterlite Tech's PE ratio is substantially higher than that of Finolex Cables, which has a PE of 18.96, and Polycab India, which is classified as very expensive with a PE of 46.06. Despite its high PE ratio, the company's low Price to Book Value and attractive EV to EBITDA ratio suggest that it may offer value relative to its peers. Notably, while Sterlite Tech has underperformed the Sensex over the short term, it has outperformed over the past year, reinforcing the case for its undervaluation.