Is Kama Holdings overvalued or undervalued?

As of 27 June 2025, Kama Holdings has moved from a fair to an attractive valuation grade, indicating a shift in its perceived value. The company is currently assessed as undervalued, with a PE ratio of 14.83, an EV to EBITDA of 4.89, and a ROCE of 17.52%. In comparison to its peers, Life Insurance has a PE of 12.53 and EV to EBITDA of 9.88, while Bajaj Finance is considered very expensive with a PE of 35.35 and EV to EBITDA of 19.63.
Kama Holdings' financial metrics suggest it is positioned favorably within its industry, particularly with a PEG ratio of 0.00, indicating potential for growth relative to its earnings. The company's recent stock performance has outpaced the Sensex, with a year-to-date return of 19.53% compared to the Sensex's 7.58%, reinforcing the attractiveness of its current valuation.