Is Dharni Capital overvalued or undervalued?

As of 24 October 2025, the valuation grade for Dharni Capital has moved from risky to very expensive. The company is currently considered overvalued based on its high valuation metrics. Key ratios include a PE ratio of 36.69, an EV to EBITDA of 32.03, and a PEG ratio of 3.85, all of which are significantly above industry averages.
In comparison to its peers, Dharni Capital's PE ratio is lower than Bajaj Finance's 38.9 but higher than Bajaj Finserv's 36.21, indicating a competitive yet elevated valuation. Additionally, Life Insurance stands out with a much lower PE ratio of 11.55, suggesting that Dharni Capital is priced at a premium relative to some competitors. Despite its recent stock performance, which has outpaced the Sensex with a year-to-date return of 27.75% compared to the Sensex's 7.77%, the high valuation metrics indicate that the stock is overvalued in the current market environment.