Is IIFL Capital overvalued or undervalued?

Nov 11 2025 08:13 AM IST
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As of November 10, 2025, IIFL Capital is considered undervalued with a PE Ratio of 16.60, significantly lower than its peers like Bajaj Finance and Bajaj Finserv, indicating a shift from expensive to attractive valuation despite recent stock price declines.
As of 10 November 2025, the valuation grade for IIFL Capital has moved from expensive to attractive, indicating a significant shift in its market perception. The company is currently considered undervalued. Key ratios include a PE Ratio of 16.60, a Price to Book Value of 0.35, and an EV to EBITDA of -33.84, which highlight its potential for growth despite current challenges.

In comparison to its peers, IIFL Capital's PE Ratio is notably lower than Bajaj Finance's 38.76 and Bajaj Finserv's 35.58, both categorized as very expensive. Additionally, Life Insurance, which is very attractive, has a PE Ratio of 11.14, further emphasizing IIFL's relative undervaluation. While IIFL Capital has faced a decline in stock price recently, it has shown remarkable growth over the past three years, outperforming the Sensex significantly.
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