Is Ganges Securitie overvalued or undervalued?

As of 10 October 2025, Ganges Securitie's valuation grade has moved from expensive to very expensive, indicating a significant shift in its perceived market value. The company is currently overvalued, as evidenced by its PE ratio of 27.55, an EV to EBIT ratio of 25.46, and a PEG ratio of 7.38, all of which suggest that the stock is trading at a premium compared to its earnings growth potential.
In comparison to its peers, Ganges Securitie's valuation stands out unfavorably; for instance, Bajaj Finance has a much higher PE ratio of 36.56, while Life Insurance is rated very attractive with a PE of 11.65. Additionally, the company's return metrics are underwhelming, with a ROCE of only 0.86% and a ROE of 0.85%, which further supports the conclusion of overvaluation. Despite a strong historical performance over the long term, recent returns show Ganges Securitie lagging behind the Sensex, particularly with a year-to-date decline of 23.84% compared to the Sensex's gain of 5.58%.