Is GCM Commodity overvalued or undervalued?

As of 14 August 2025, the valuation grade for GCM Commodity has moved from risky to very expensive, indicating a significant deterioration in its perceived value. The company is currently considered overvalued. Key ratios highlight this concern, with a PE ratio of -0.75, an EV to EBIT of -0.04, and a ROCE of -48.46%. These figures suggest that the company is struggling to generate profits relative to its capital employed.
In comparison to peers, GCM Commodity's valuation stands in stark contrast to Life Insurance, which is rated very attractive with a PE ratio of 11.53, and Bajaj Finance, which is very expensive at a PE ratio of 30.73. The substantial negative ratios and the overall market performance, where GCM has underperformed the Sensex with a year-to-date return of -28.71% compared to the Sensex's 3.15%, reinforce the conclusion that GCM Commodity is overvalued.