Is K Z Leasing overvalued or undervalued?

As of 10 September 2025, K Z Leasing's valuation grade has moved from very expensive to risky, indicating a significant shift in its perceived value. The company is currently deemed overvalued. Key ratios reveal a PE ratio of -4.84, an EV to EBIT of 4.96, and a Price to Book Value of 0.43, all of which suggest underlying financial distress and a lack of profitability.
In comparison to its peers, K Z Leasing's metrics starkly contrast with those of Bajaj Finance, which has a PE ratio of 34.56, and Life Insurance, with a PE ratio of 11.4. This highlights the significant valuation gap between K Z Leasing and more stable companies in the Non-Banking Financial Company (NBFC) sector. Additionally, K Z Leasing's recent stock performance has lagged behind the Sensex, with a year-to-date return of -27.49% compared to the Sensex's positive return of 4.21%, further reinforcing the notion that the company is overvalued in the current market context.