Is Gogia Capital overvalued or undervalued?

As of 19 September 2025, Gogia Capital's valuation grade has moved from very expensive to risky, indicating a significant shift in its perceived value. The company is currently considered overvalued based on its negative PE ratio of -61.31, an EV to EBIT of -8.10, and a ROCE of -22.34%. These ratios suggest that Gogia Capital is struggling to generate profits relative to its capital employed and sales.
In comparison to its peers, Gogia Capital's valuation metrics starkly contrast with those of Bajaj Finance, which has a PE ratio of 35.51, and Life Insurance, with a PE of 11.64, both of which are in a much stronger financial position. The company's recent stock performance shows a 1-month return of 40.78%, significantly outperforming the Sensex's 1.20% return, but this is overshadowed by a year-to-date decline of -13.39% compared to the Sensex's gain of 5.74%. Overall, Gogia Capital appears to be overvalued in the current market context.