Is India Lease Dev. overvalued or undervalued?

As of 19 September 2025, the valuation grade for India Lease Development has moved from very expensive to risky. The company is currently assessed as overvalued, given its negative PE ratio of -14.45 and EV to EBIT of -14.30, which indicate significant financial distress. Additionally, the ROCE and ROE are both negative at -1.26% and -1.15%, respectively, further highlighting the company's struggles in generating returns.
In comparison to its peers, India Lease Development's valuation metrics are starkly unfavorable. For instance, Bajaj Finance has a PE ratio of 35.51, while Life Insurance boasts a more attractive PE of 11.64, demonstrating the disparity in valuation within the sector. The company's stock has underperformed relative to the Sensex, particularly over the past year, where it has declined by 33.31% compared to a slight drop of 0.67% in the Sensex. This performance, combined with the negative financial ratios, reinforces the conclusion that India Lease Development is overvalued in its current state.