Is Supertech EV overvalued or undervalued?

As of 31 October 2025, the valuation grade for Supertech EV has moved from expensive to fair. The company is currently fairly valued based on its financial ratios, which include a PE ratio of 7.82, an EV to EBIT ratio of 6.63, and a ROE of 36.84%. When compared to peers, Supertech EV's PE ratio is significantly lower than Bajaj Auto's 32.74 and Eicher Motors' 39.71, indicating a more attractive valuation relative to these competitors.
Despite the fair valuation, Supertech EV has faced recent stock performance challenges, with a 1-month return of -11.71% compared to a 3.65% gain in the Sensex. This underperformance may suggest market skepticism about the company's growth prospects, but the current valuation metrics imply that it is not overvalued. Overall, Supertech EV presents a compelling investment opportunity at its current price of 39.15, especially when considering its strong return on capital employed and competitive positioning within the industry.