Is Vascon Engineers overvalued or undervalued?

As of 10 February 2025, the valuation grade for Vascon Engineers has moved from fair to attractive, indicating a positive shift in its market perception. The company is currently assessed as undervalued. Key ratios include a PE ratio of 18.53, an EV to EBITDA of 13.53, and a Price to Book Value of 1.11, which suggest that the stock is trading at a reasonable price relative to its earnings and book value.
In comparison to peers, Vascon Engineers' PE ratio of 18.53 is significantly lower than that of Larsen & Toubro, which stands at 34.21, highlighting its relative attractiveness. Other peers like Siemens and CG Power & Industries are categorized as very expensive, with PE ratios of 56.88 and 107.03, respectively. Despite a recent decline in stock performance over the past year, where it returned -16.47% compared to the Sensex's 7.62%, the long-term outlook remains strong, especially with a 5-year return of 454.29%.