Is K Z Leasing overvalued or undervalued?

As of 19 September 2025, the valuation grade for K Z Leasing has moved from very expensive to risky. The company appears to be undervalued based on its current metrics, despite the negative sentiment reflected in its valuation grade. Key ratios include a PE ratio of -5.09, an EV to EBIT of 4.71, and a Price to Book Value of 0.45, indicating potential mispricing relative to its financial performance.
In comparison to peers, K Z Leasing's valuation stands out, particularly against Bajaj Finance, which has a PE ratio of 35.51, and Life Insurance, which boasts a PE of 11.64. The stark contrast in these ratios suggests that K Z Leasing may be undervalued in the market. Additionally, while the stock has underperformed relative to the Sensex year-to-date, it has shown resilience over longer periods, with a 5-year return of 146.09% compared to the Sensex's 112.70%.