Is K Z Leasing overvalued or undervalued?

As of 29 August 2025, K Z Leasing's valuation grade has moved from risky to very expensive, indicating a significant deterioration in its investment appeal. The company is currently overvalued, with a PE ratio of -4.81, an EV to EBITDA of -5.39, and a Price to Book Value of 0.33. These ratios highlight the company's poor profitability and suggest that it is trading at a premium compared to its financial performance.
In comparison to its peers, K Z Leasing stands out unfavorably; for instance, Bajaj Finance has a PE ratio of 31.3 and an EV to EBITDA of 17.84, while Life Insurance boasts a PE of 11.08 and an EV to EBITDA of 8.57, both indicating much stronger valuations. The company's recent stock performance has also been disappointing, with a year-to-date return of -27.84%, contrasting sharply with the Sensex's positive return of 2.14% during the same period. This further reinforces the conclusion that K Z Leasing is overvalued in the current market environment.