Is Fedbank Financi. overvalued or undervalued?

Jul 29 2025 08:04 AM IST
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As of July 28, 2025, Fedbank Financi. is rated very attractive due to its undervaluation, with a PE ratio of 20.40, an EV to EBITDA of 12.21, a ROCE of 9.16%, and a strong growth potential indicated by a PEG ratio of 0.00, outperforming the Sensex with a year-to-date return of 19.34%.
As of 28 July 2025, the valuation grade for Fedbank Financi. has moved from attractive to very attractive. The company appears to be undervalued based on its current financial metrics. Key ratios include a PE ratio of 20.40, an EV to EBITDA of 12.21, and a ROCE of 9.16%.
In comparison to its peers, Fedbank Financi. stands out with a PE ratio that is lower than Bajaj Finance's 31.4 and Bajaj Finserv's 33.23, both of which are considered very expensive. Additionally, its PEG ratio of 0.00 indicates strong growth potential relative to its price. Recent performance shows that Fedbank Financi. has outperformed the Sensex on a year-to-date basis, with a return of 19.34% compared to the Sensex's 3.52%.
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