Is Cindrella Fin. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Cindrella Fin. has moved from very expensive to expensive. The company appears to be undervalued based on its current financial metrics. The PE ratio stands at 5.82, while the EV to EBIT and EV to EBITDA both are at 5.52, indicating a low valuation relative to earnings. Additionally, the Price to Book Value is 0.89, suggesting that the stock is trading below its book value.
In comparison to peers, Cindrella Fin. has a significantly lower PE ratio than Life Insurance, which is at 12.74, and Bajaj Finance, which is at 34.97. The PEG ratio of Cindrella Fin. is notably low at 0.00, further supporting the argument for undervaluation. Despite recent underperformance against the Sensex, with a year-to-date return of -6.42% compared to the Sensex's 7.00%, the long-term performance shows a substantial gain of 337.50% over five years, reinforcing the potential for future appreciation.