Is Amarnath Sec. overvalued or undervalued?

As of 4 November 2025, the valuation grade for Amarnath Sec. has moved from very attractive to attractive, indicating a shift in perceived value. The company is currently assessed as undervalued, primarily due to its PE ratio of 21.32, which is relatively low compared to peers like Bajaj Finance at 37.67 and Bajaj Finserv at 34.81. Additionally, Amarnath Sec. has an EV to EBITDA ratio of 4.74, which aligns with its valuation status, while its PEG ratio stands at 0.00, suggesting significant growth potential not reflected in its current price.
In comparison to its peers, Amarnath Sec. shows a favorable position, especially against Life Insurance, which has a PE ratio of 11.76 and an EV to EBITDA of 9.18, indicating a more attractive valuation for Amarnath. Despite recent stock performance showing a decline of 54.61% over the past year against a 5.94% rise in the Sensex, the current valuation metrics suggest that Amarnath Sec. could be a compelling investment opportunity given its attractive ratios and potential for recovery.