Is Cindrella Fin. overvalued or undervalued?

As of 9 October 2025, Cindrella Fin. has moved from expensive to fair in its valuation grade. The company appears to be undervalued based on its current metrics. Key ratios include a PE ratio of 4.68, an EV to EBIT of 4.38, and a Price to Book Value of 0.71, which suggest that the stock is trading at a significant discount compared to its earnings and book value.
In comparison to its peers, Cindrella Fin.'s PE ratio of 4.68 is notably lower than Bajaj Finance's 36.57 and Life Insurance's 11.62, indicating that it is much more attractively priced relative to its earnings. Additionally, the EV to EBITDA ratio of 4.38 aligns with its fair valuation status, especially when compared to the higher valuations of peers like Bajaj Finserv at 12.8. Despite recent underperformance against the Sensex, with a year-to-date return of -24.80% versus the Sensex's 5.16%, the fundamental valuation metrics suggest that Cindrella Fin. is positioned for potential upside.