Is Fedbank Financi. overvalued or undervalued?

As of 15 October 2025, the valuation grade for Fedbank Financi. has moved from attractive to very attractive. The company is currently considered undervalued based on its financial ratios and peer comparison. Key ratios include a PE Ratio of 25.56, an EV to EBITDA of 12.77, and a ROE of 9.03%.
In comparison to its peers, Fedbank Financi. stands out as very attractive, especially when compared to Bajaj Finance, which has a PE Ratio of 37.84 and is deemed very expensive, and Life Insurance, which is also very attractive with a PE Ratio of 11.69. Notably, Fedbank's PEG Ratio is 0.00, indicating strong growth potential relative to its price. Over the past year, Fedbank has outperformed the Sensex with a stock return of 40.32% compared to the Sensex's 0.96%, reinforcing its undervalued status.