Is Guj. Credit Corp overvalued or undervalued?

As of 15 October 2025, the valuation grade for Guj. Credit Corp has moved from very expensive to risky, indicating a significant downgrade in its perceived value. The company appears to be overvalued based on its current metrics, particularly with a PE ratio of -6750.00, an EV to EBIT of -79.93, and a Price to Book Value of 5.39. These ratios suggest that the company is struggling to generate positive earnings and is trading at a high premium relative to its book value.
In comparison to its peers, Guj. Credit Corp's valuation is starkly different from Bajaj Finance, which has a PE ratio of 37.84, and Life Insurance, with a PE ratio of 11.69. The negative earnings ratios and the high Price to Book Value indicate that Guj. Credit Corp is not only underperforming but also facing significant challenges in the market. Additionally, the company's stock has underperformed against the Sensex, with a year-to-date return of -45.78% compared to the Sensex's 5.72%, reinforcing the notion that it is currently overvalued.