Is Avonmore Capital overvalued or undervalued?

As of 13 November 2025, Avonmore Capital's valuation grade has moved from attractive to fair, indicating a shift in its market perception. The company appears to be fairly valued at this time. Key ratios include a PE Ratio of 18.04, an EV to EBITDA of 11.83, and a PEG Ratio of 0.16, which suggests that while the company is generating earnings, its growth potential is being priced at a significant discount relative to its earnings growth.
In comparison to peers, Avonmore Capital's PE Ratio is notably lower than Bajaj Finance, which stands at 34.18, and Life Insurance, which is at 11.18, indicating that Avonmore may offer a more attractive valuation relative to its growth prospects. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -5.06% compared to the Sensex's 8.11%, further reinforcing the notion that Avonmore Capital is currently fairly valued in the market.