Is Franklin Leasing overvalued or undervalued?

As of 26 August 2025, the valuation grade for Franklin Leasing has moved from very expensive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a PE Ratio of 17.68, an EV to EBIT of 4.32, and a Price to Book Value of 0.47.
In comparison to its peers, Franklin Leasing's PE ratio is relatively aligned with Life Insurance, which has a PE of 11.53 and is rated very attractive, while Bajaj Finance is rated very expensive with a PE of 31.26. Notably, Franklin Leasing's EV to EBITDA ratio of 4.32 is competitive within the industry, indicating a reasonable valuation compared to its peers. Despite recent underperformance with a year-to-date return of -38.22% versus a positive 3.39% return for the Sensex, the current valuation suggests that Franklin Leasing may present a more attractive investment opportunity moving forward.