Is Bank of Maha overvalued or undervalued?

As of 11 July 2025, the valuation grade for Bank of Maha has moved from attractive to very attractive, indicating a significant positive shift in its perceived value. The company is currently considered undervalued based on its strong financial ratios, including a PE ratio of 7.80, a Price to Book Value of 1.51, and a PEG ratio of 0.31. These metrics suggest that the stock is trading at a lower valuation compared to its earnings growth potential.
In comparison to its peers, Bank of Maha's valuation stands out favorably; for instance, Punjab National Bank has a PE ratio of 7.61, while State Bank of India is considered expensive at a PE of 10.18. Additionally, Bank of Baroda and Union Bank of India also exhibit strong valuations with PE ratios of 6.26 and 6.10, respectively. The recent stock performance shows that Bank of Maha has outperformed the Sensex over a three-year period, with a return of 246.50% compared to the Sensex's 51.67%, reinforcing the attractiveness of its current valuation.