Is Grovy India overvalued or undervalued?

As of 27 June 2025, Grovy India has moved from a valuation grade of very expensive to expensive. The company is currently considered overvalued based on its key financial ratios. The PE ratio stands at 34.86, while the EV to EBITDA ratio is 43.72, and the Price to Book Value is 3.06. These figures indicate that Grovy India is trading at a premium compared to its peers.
In comparison, Life Insurance, which is rated fair, has a PE ratio of 12.53 and an EV to EBITDA of 9.88, while Bajaj Finserv, rated expensive, has a PE ratio of 36.79 and an EV to EBITDA of 13.55. This highlights that Grovy India is significantly overvalued relative to its industry peers. Additionally, despite a strong historical performance over five years with a return of 885.05%, the recent year-to-date return of -7.4% compared to the Sensex's 7.58% suggests that the stock may be losing momentum.