Is Ashika Credit overvalued or undervalued?

As of 17 October 2025, the valuation grade for Ashika Credit has moved from risky to very expensive, indicating a significant deterioration in its perceived value. The company is currently considered overvalued. Key ratios highlight this concern, with a PE ratio of -95.33, an EV to EBIT of -105.64, and an EV to EBITDA of -106.42, all suggesting that the company is facing severe profitability issues.
In comparison to its peers, Ashika Credit's valuation metrics are starkly unfavorable. For instance, Bajaj Finance has a PE ratio of 38.21 and an EV to EBITDA of 20.25, while Life Insurance boasts an EV to EBITDA of 8.94, both indicating more favorable valuations. Additionally, Ashika Credit's recent stock performance has been disappointing, with a year-to-date return of -57.11%, contrasting sharply with the Sensex's 7.44% gain during the same period. This further underscores the company's overvaluation relative to its market performance and peer group.