Is Kotak Mah. Bank overvalued or undervalued?

As of 27 October 2025, the valuation grade for Kotak Mahindra Bank has moved from very expensive to expensive. The company is currently considered overvalued. Key ratios include a PE Ratio of 31.91, a Price to Book Value of 3.41, and a ROE of 10.70%.
In comparison to peers, HDFC Bank has a PE of 21.66, while ICICI Bank is at 19.87, indicating that Kotak Mahindra Bank's valuation is significantly higher than these competitors. The recent stock performance shows that while Kotak Mahindra Bank has outperformed the Sensex on a year-to-date basis with a return of 20.30% compared to the Sensex's 8.50%, its longer-term performance over three and five years has lagged behind the index.