Is Authum Invest. overvalued or undervalued?

Jul 02 2025 08:04 AM IST
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As of July 1, 2025, Authum Invest. is considered undervalued with an attractive valuation grade, supported by a low PE Ratio of 9.97, strong operational efficiency indicated by a ROCE of 27.21% and ROE of 28.87%, and significant outperformance compared to peers and the Sensex, despite a recent stock price decline.
As of 1 July 2025, the valuation grade for Authum Invest. has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently considered undervalued. Key ratios supporting this assessment include a PE Ratio of 9.97, an EV to EBIT of 10.43, and a PEG Ratio of 0.21, all of which suggest that the company is trading at a discount relative to its earnings growth potential.

In comparison to its peers, Authum Invest. stands out with a significantly lower PE Ratio than Life Insurance at 12.71 and Bajaj Finance at 34.98, highlighting its attractive valuation within the Non Banking Financial Company (NBFC) sector. Additionally, the company's ROCE of 27.21% and ROE of 28.87% further reinforce its strong operational efficiency and profitability. Despite a recent decline in stock price, Authum Invest. has shown remarkable returns over the past year, outperforming the Sensex significantly, which underscores its growth potential and value proposition.
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