Is Kapil Raj Financ overvalued or undervalued?

As of 17 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, leading to the conclusion that the company is overvalued. Key ratios highlight this concern, with a staggering PE ratio of -4266.60, an EV to EBIT of -41.07, and a ROCE of -0.15%.
In comparison to peers, Kapil Raj Financ stands out unfavorably; for instance, Bajaj Finance has a PE ratio of 38.21 and an EV to EBITDA of 20.25, while Life Insurance boasts a more attractive PE of 11.49. The company's recent stock performance has been dismal, with a year-to-date return of -91.67% compared to a 7.44% gain in the Sensex, reinforcing the notion that it is significantly overvalued in the current market environment.