Is Esaar (India) overvalued or undervalued?

As of 10 October 2025, Esaar (India) has moved from a risky to a very expensive valuation grade. The company is currently considered overvalued. Key ratios include a PE Ratio of -1.46, an EV to EBITDA of -2.92, and a ROE of -88.89%. When compared to peers, Esaar's valuation stands out negatively; for instance, Bajaj Finance has a PE Ratio of 36.56 and EV to EBITDA of 19.67, while Life Insurance shows a PE of 11.65 and EV to EBITDA of 9.08, indicating that Esaar's metrics are significantly worse. Despite a strong stock performance with a YTD return of 147.83% compared to the Sensex's 5.58%, the underlying financial ratios suggest that the company's valuation does not align with its financial health, reinforcing the conclusion that it is overvalued.