Is Tarmat overvalued or undervalued?

As of 31 October 2025, Tarmat's valuation grade has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued. Key ratios include a PE ratio of 64.21, an EV to EBITDA ratio of 43.50, and a Price to Book Value of 0.82.
In comparison to its peers, Tarmat's PE ratio is significantly higher than that of Larsen & Toubro, which stands at 34.58, while CG Power & Ind is deemed very expensive with a PE of 108.51. Despite its fair valuation, Tarmat has underperformed the Sensex, with a year-to-date return of -33.33% compared to the Sensex's 7.42%, suggesting that market sentiment may still be cautious regarding its future prospects.