Is Kanungo Financi. overvalued or undervalued?

As of 10 October 2025, Kanungo Financial's valuation grade has moved from very attractive to attractive, indicating a shift in its perceived value. The company is currently assessed as undervalued, supported by a PE ratio of 4.04, a price-to-book value of 0.64, and an EV to EBIT of -3.43. These ratios suggest that the stock is trading at a significant discount compared to its earnings and book value.
In comparison to its peers, Kanungo Financial's valuation metrics stand out, particularly against Bajaj Finance, which has a PE ratio of 36.56, and Life Insurance, with a PE of 11.65. This stark contrast in valuation indicates that Kanungo Financial may present a more attractive investment opportunity relative to its competitors. Additionally, the company's recent stock performance has outpaced the Sensex, with a year-to-date return of 9.28% compared to the Sensex's 5.58%, reinforcing the narrative of its undervaluation.