Is Transrail Light overvalued or undervalued?

As of 4 June 2025, the valuation grade for Transrail Light has moved from expensive to fair. Based on the analysis, the company appears to be fairly valued at this time. Key ratios include a PE ratio of 26.89, an EV to EBITDA of 13.90, and a ROCE of 34.87%.
In comparison to its peers, KEC International Ltd. has a higher PE ratio of 41.47 and an EV to EBITDA of 17.93, while Kalpataru Projects International Ltd. is valued attractively with a PE of 33.47 and an EV to EBITDA of 12.00. Notably, Transrail Light's PEG ratio stands at 0.00, indicating that it may be undervalued relative to its growth expectations. Additionally, the company's stock has shown strong performance with a 1-month return of 45.52%, significantly outpacing the Sensex's 3.80% return during the same period.