Is Ashika Credit overvalued or undervalued?

As of 19 September 2025, the valuation grade for Ashika Credit has moved from very expensive to risky. Based on the analysis, the company appears to be overvalued. Key ratios include a PE ratio of -96.81, an EV to EBITDA of -108.64, and a ROCE of 141.12%. In comparison to peers, Bajaj Finance has a PE ratio of 35.51 and an EV to EBITDA of 19.31, while Life Insurance shows a much more attractive EV to EBITDA of 9.07. The stark contrast in these metrics suggests that Ashika Credit is not only overvalued relative to its peers but also reflects a concerning financial position. Additionally, while Ashika Credit has shown a significant return of 887.72% over three years, its year-to-date performance of -56.44% starkly contrasts with the Sensex's positive return of 5.74%, further indicating potential overvaluation.