Is HB Stockholdings overvalued or undervalued?

Sep 05 2025 08:04 AM IST
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As of September 4, 2025, HB Stockholdings is considered very expensive and overvalued due to its negative PE ratio of -4.94, negative ROE of -13.36%, and an EV to EBITDA ratio of -6.34, significantly underperforming compared to peers and the Sensex.
As of 4 September 2025, the valuation grade for HB Stockholdings has moved from risky to very expensive, indicating a significant deterioration in its investment appeal. The company is currently overvalued, as evidenced by its negative PE ratio of -4.94 and a negative ROE of -13.36%. Additionally, the EV to EBITDA ratio stands at -6.34, further highlighting the company's financial struggles.

In comparison to its peers, HB Stockholdings presents a stark contrast; for instance, Bajaj Finance has a PE ratio of 33.36, while Life Insurance boasts a much more favorable EV to EBITDA of 8.87. The overall market performance shows that HB Stockholdings has underperformed relative to the Sensex, with a year-to-date return of -32.05% compared to the Sensex's gain of 3.30%. This combination of poor financial metrics and relative underperformance reinforces the conclusion that HB Stockholdings is currently overvalued.
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Our weekly and monthly stock recommendations are here
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