Is Supertech EV overvalued or undervalued?

As of 16 October 2025, the valuation grade for Supertech EV has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued based on its financial ratios. Notable ratios include a PE Ratio of 8.36, an EV to EBIT of 7.00, and an EV to EBITDA of 6.65, which, while not excessively high, suggest that the stock is priced at a premium compared to its earnings potential.
In comparison to its peers, Supertech EV's PE ratio is significantly lower than that of Bajaj Auto, which stands at 33.65, and Eicher Motors, which is at 39.63, both of which are classified as attractive and very expensive, respectively. This disparity highlights that Supertech EV may not justify its current valuation level. Additionally, the company's recent stock performance has lagged behind the Sensex, with a 1-week return of -10.19% compared to the Sensex's 1.58% gain, further reinforcing the view that Supertech EV is overvalued in the current market environment.