Is Dalal Street Inv overvalued or undervalued?

As of 19 September 2025, the valuation grade for Dalal Street Inv has moved from very expensive to risky. The company is currently assessed as undervalued, given its significant negative PE ratio of -12.75, an EV to EBIT of -14.51, and a Price to Book Value of 2.57. These ratios indicate a challenging financial position, particularly with a negative return on capital employed (ROCE) of -6.24% and return on equity (ROE) of -3.22%.
In comparison to its peers, Dalal Street Inv's valuation metrics starkly contrast with those of Bajaj Finance, which has a PE ratio of 35.51, and Life Insurance, which boasts a PE of 11.64. The peer comparison highlights the relative riskiness of Dalal Street Inv, especially with its PEG ratio at 0.00, suggesting no growth expectations. Notably, the company's stock has underperformed against the Sensex over the past year, with a return of -22.99% compared to the Sensex's -0.67%.