Is GCM Securit. overvalued or undervalued?

As of 17 October 2025, the valuation grade for GCM Securit. has moved from risky to fair, indicating an improvement in its perceived financial health. The company is currently fairly valued despite some concerning ratios, such as a PE ratio of -6.47 and an ROE of -15.46%. In contrast, the ROCE stands at a more favorable 15.00%, suggesting that while the company faces challenges, it is generating reasonable returns on capital employed.
When compared to peers, GCM Securit. presents a stark contrast to Bajaj Finance, which has a PE ratio of 38.21, and Life Insurance, with a PE of 11.49, highlighting the disparity in valuation within the sector. The EV to EBITDA ratio for GCM is 1.75, which is less than the industry average, further supporting the notion that it is fairly valued. Additionally, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -34.19% compared to the Sensex's 7.44%, reinforcing the cautious outlook on its valuation.