Is T N Telecom. overvalued or undervalued?

As of 25 April 2023, T N Telecom's valuation grade has moved from does not qualify to risky, indicating a significant deterioration in its financial standing. The company appears to be overvalued given its negative PE ratio of -2.92, an EV to EBITDA ratio of -31.40, and a PEG ratio of 0.00. These ratios suggest that the company's earnings and book value are not only negative but also reflect a lack of profitability compared to its peers.
In comparison to its industry peers, T N Telecom stands out unfavorably against companies like Havells India, which has a PE ratio of 64.84, and Polycab India, with a PE of 45.49. The stark contrast in valuation metrics highlights T N Telecom's precarious position within the telecom equipment sector. Despite a recent uptick in stock performance, with a 1-week return of 5.08% compared to the Sensex's 1.38%, the overall outlook remains bleak, reinforcing the assessment that T N Telecom is overvalued in its current state.