Is Sterlite Tech. overvalued or undervalued?

As of 7 November 2025, the valuation grade for Sterlite Tech. has moved from expensive to attractive, indicating a shift in perception towards the stock's value. The company is currently considered undervalued based on its financial metrics, with a PE ratio of 1398.78, an EV to EBITDA of 25.08, and a Price to Book Value of 0.27. These ratios suggest that despite the high PE ratio, the overall valuation metrics indicate potential for growth and improvement.
In comparison to peers, Sterlite Tech. stands out with a significantly lower PEG ratio of 13.64, while Polycab India, categorized as very expensive, has a PE ratio of 46.06, and Havells India, rated as fair, has a PE of 62.17. This highlights that Sterlite Tech. may offer better value relative to its peers in the telecom equipment sector. Additionally, while the stock has underperformed the Sensex over the past week and month, it has shown strong year-to-date and one-year returns of 33.89% and 25.20%, respectively, reinforcing the potential for future growth.