Is Guj. Credit Corp overvalued or undervalued?

As of 17 October 2025, the valuation grade for Guj. Credit Corp has moved from risky to very expensive, indicating a significant deterioration in its valuation outlook. The company is currently overvalued, with a PE ratio of -6877.50, an EV to EBIT of -81.21, and a Price to Book Value of 5.49. These ratios suggest that the company is not generating positive earnings and is trading at a high multiple relative to its book value, which raises concerns about its financial health.
In comparison to its peers, Guj. Credit Corp's valuation metrics are starkly unfavorable. For instance, Bajaj Finance has a PE ratio of 38.21 and an EV to EBITDA of 20.25, while Life Insurance boasts a PE of 11.49 and an EV to EBITDA of 8.94, both indicating more reasonable valuations in the same industry. Furthermore, Guj. Credit Corp's recent stock performance shows a year-to-date decline of 44.76%, contrasting sharply with the Sensex's gain of 7.44%, reinforcing the notion that the stock is overvalued relative to its peers and the broader market.