Is Updater Services overvalued or undervalued?

As of 21 July 2025, Updater Services has moved from an attractive to a very attractive valuation grade, indicating a significant improvement in its perceived value. The company is currently considered undervalued, with a PE ratio of 16.20, an EV to EBITDA of 10.56, and a PEG ratio of 0.22, all suggesting that the stock is trading at a discount relative to its earnings growth potential.
In comparison to its peers, Updater Services stands out with a lower PE ratio than Altius Telecom, which has a PE of 53.33, and a more favorable EV to EBITDA ratio compared to Embassy Off.REIT at 21.79. Despite recent stock performance showing a decline of 24.18% year-to-date against a 5.20% increase in the Sensex, the company's strong fundamentals, including a ROCE of 15.07% and ROE of 12.40%, reinforce its undervalued status in the current market.