Is K Z Leasing overvalued or undervalued?

As of 4 September 2025, K Z Leasing's valuation grade has moved from risky to very expensive, indicating a significant shift in its perceived value. The company appears overvalued, with a PE ratio of -4.70, an EV to EBITDA ratio of -5.28, and a Price to Book Value of 0.32. These ratios suggest that the company is struggling to generate positive earnings and is not effectively utilizing its assets.
When compared to peers, K Z Leasing's financial metrics stand out unfavorably. For instance, Bajaj Finance has a PE ratio of 33.36 and an EV to EBITDA of 18.56, while Life Insurance boasts a PE ratio of 11.41 and an EV to EBITDA of 8.87, both indicating a far healthier financial position. The recent stock performance shows K Z Leasing has underperformed the Sensex over the year, with a return of -18.84% compared to the Sensex's -1.98%. This further reinforces the conclusion that K Z Leasing is overvalued in its current state.