Is Vilas Transcore overvalued or undervalued?

As of 7 July 2025, the valuation grade for Vilas Transcore has moved from very expensive to expensive, indicating a slight improvement in its perceived valuation. However, the company remains overvalued based on its current metrics. The PE ratio stands at 41.14, the Price to Book Value is 8.88, and the EV to EBITDA ratio is 29.65, all suggesting a premium valuation compared to its peers.
In comparison to notable peers, NTPC, which is rated very attractive, has a PE ratio of 13.98 and an EV to EBITDA of 10.46, highlighting a significant disparity in valuation. Additionally, Tata Power Co., rated attractive, has a PE ratio of 31.71 and an EV to EBITDA of 12.96. These comparisons reinforce the view that Vilas Transcore is overvalued. Despite a strong return of 22.42% year-to-date compared to the Sensex's 7.68%, the high valuation ratios indicate that investors may be overestimating the company's growth potential.