Is Alacrity Sec. overvalued or undervalued?

As of 4 November 2025, Alacrity Sec. has moved from an attractive to a fair valuation grade. The company is currently fairly valued, with a PE ratio of 22.65, an EV to EBIT of 20.92, and an ROE of 11.90%. In comparison to its peers, Bajaj Finance is very expensive with a PE ratio of 37.67, while Life Insurance stands out as very attractive with a PE of 11.76, indicating that Alacrity Sec. is positioned more favorably than some of its more expensive counterparts.
Despite the recent shift in valuation grade, Alacrity Sec.'s performance has been notable, particularly over the last three years, where it has returned 407.38%, significantly outperforming the Sensex's 36.93% in the same period. This suggests that while the current valuation may be fair, the company's historical performance could indicate potential for future growth, making it a stock to watch closely.