Is Kapil Raj Financ overvalued or undervalued?

As of 10 October 2025, the valuation grade for Kapil Raj Financ has moved from risky to very expensive. This indicates a significant deterioration in its valuation outlook. The company is currently assessed as overvalued, with a PE ratio of -44.74, an EV to EBIT of -44.75, and a Price to Book Value of 3.30. These figures highlight severe financial distress and an unsustainable valuation relative to its earnings.
In comparison to its peers, Kapil Raj Financ's valuation metrics are starkly unfavorable. For instance, Bajaj Finance has a PE ratio of 36.56, while Life Insurance boasts a PE of 11.65, both indicating much healthier valuations. Furthermore, the company's recent stock performance has been dismal, with a year-to-date return of -91.26%, contrasting sharply with the Sensex's positive return of 5.58% during the same period. This underperformance reinforces the conclusion that Kapil Raj Financ is significantly overvalued in the current market landscape.