Is GSL Securities overvalued or undervalued?

As of 23 October 2025, GSL Securities has moved from a fair valuation to a risky one. The company appears to be overvalued based on its current metrics. The price-to-earnings (PE) ratio stands at 47.28, significantly higher than peers like Bajaj Finance at 39.07 and Life Insurance at 11.68. Additionally, the EV to EBITDA ratio is -9.82, which raises concerns about the company's earnings quality and sustainability.
In comparison to its peers, GSL Securities shows a PEG ratio of 0.00, indicating a lack of growth relative to its price, while Bajaj Finserv and Jio Financial are also notably expensive with PEG ratios of 2.59 and 122.01, respectively. The company's return on equity (ROE) is only 5.50%, which is low compared to the industry standards. Given these ratios and the overall market context, GSL Securities is deemed overvalued, despite its impressive historical stock performance against the Sensex, particularly a 229.44% return over the past year.