New Delhi, March 13 -- The Indian Railway Catering and Tourism Corp. Ltd (IRCTC) stock hit a new 52-week low of Rs.520.05 on Thursday, having lost 23% of its value in the past year.

This performance contrasts sharply with the Nifty PSE index, of which IRCTC is a part, which has gained 19% during the same period. In other words, the stock has underperformed the index by 43 percentage points.

While the one-year performance is disappointing, a more worrying development for investors is that the stock breached its nearly three-year low of Rs.557 earlier this month, a level last seen on 29 March 2023.

The key question now is whether the sharp underperformance has made the stock cheap relative to its earnings growth.

Based on PL Capital's F...