Is HB Leasing &Fin. overvalued or undervalued?

As of 23 October 2025, the valuation grade for HB Leasing & Fin. has moved from very expensive to risky. The company is currently assessed as overvalued based on its financial ratios and peer comparisons. Key ratios include a PE ratio of -58.28, an EV to EBIT of -15.56, and a Price to Book Value of 2.97, which indicate significant financial distress and poor profitability.
In comparison to its peers, HB Leasing & Fin. stands out with a notably negative PE ratio, while Bajaj Finance has a PE of 39.07 and Bajaj Finserv at 36.5, both classified as very expensive. Additionally, Life Insurance, categorized as very attractive, has a PE of 11.68, further highlighting the disparity in valuation. Despite a strong historical performance over the long term, recent stock returns have lagged behind the Sensex, with a year-to-date decline of 15.39% compared to the Sensex's gain of 8.21%.