Is Teamo Production overvalued or undervalued?

As of 19 August 2025, the valuation grade for Teamo Production has moved from very expensive to expensive, indicating a slight improvement in perceived value. However, the company remains overvalued based on its current financial metrics. The PE ratio stands at 29.26, while the EV to EBIT and EV to EBITDA ratios are both significantly high at 81.63, suggesting that the company's earnings potential is not being adequately reflected in its market price.
In comparison to its peers, Teamo Production's valuation appears less favorable. For instance, Altius Telecom has a PE ratio of 55.48 and an EV to EBITDA of 10.54, indicating a more attractive valuation despite its higher PE. Additionally, Sagility India, also classified as expensive, has a PE of 31.8 and an EV to EBITDA of 15.73, further highlighting the relative overvaluation of Teamo Production. The company's stock has underperformed significantly against the Sensex, particularly year-to-date, where it has declined by 71.04% compared to a 4.49% increase in the index, reinforcing the conclusion that Teamo Production is overvalued.