Is Laxmi India Fin. overvalued or undervalued?

Oct 20 2025 08:10 AM IST
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As of October 17, 2025, Laxmi India Fin. is fairly valued with a PE ratio of 20.77, but has underperformed the Sensex with a 1-week return of -4.35%, indicating potential market concerns despite its competitive valuation compared to peers.
As of 17 October 2025, Laxmi India Fin. has moved from an attractive to a fair valuation grade. The company is currently fairly valued, with a PE ratio of 20.77, a Price to Book Value of 2.90, and an EV to EBITDA of 34.96. In comparison with peers, Bajaj Finance is considered very expensive with a PE ratio of 38.21, while Life Insurance is very attractive with a PE ratio of 11.49, highlighting Laxmi's relative position in the market.

Despite its fair valuation, Laxmi India Fin. has underperformed against the Sensex, with a 1-week return of -4.35% compared to the Sensex's 1.76% gain. This underperformance may suggest that the market is currently pricing in some uncertainty or challenges ahead for the company, even as its valuation metrics align closely with industry averages.
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