Is Capital Trust overvalued or undervalued?

As of 12 September 2025, Capital Trust's valuation grade has moved from expensive to fair. The company is currently assessed as undervalued given its significant negative PE ratio of -12.51, a price-to-book value of 1.16, and an EV to EBITDA ratio of 21.92. These figures suggest that the stock may be trading below its intrinsic value despite its recent struggles. When compared to peers, Capital Trust's valuation appears more favorable than that of Bajaj Finance, which is classified as very expensive with a PE ratio of 35.82, and Bajaj Finserv, also expensive with a PE of 34.99. Additionally, its PEG ratio of 0.00 indicates potential for growth relative to its price. While the stock has underperformed against the Sensex in various timeframes, including a YTD decline of 59.55% compared to the Sensex's gain of 4.82%, the current valuation suggests that it may be a buying opportunity for investors looking for value in the NBFC sector.