Is Madhusudan Sec. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Madhusudan Sec. has moved from risky to very expensive, indicating a significant deterioration in its valuation outlook. The company is currently deemed overvalued. Key ratios include a PE ratio of -67.21, an EV to EBITDA of -9.58, and a Price to Book Value of 0.49, all of which highlight the company's financial struggles.
In comparison to its peers, Madhusudan Sec. 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 PE of 11.49 and an EV to EBITDA of 8.94. This stark contrast underscores the overvaluation of Madhusudan Sec. despite its recent stock performance, which has outpaced the Sensex over the past week and month, but still lags behind in the year-to-date and one-year returns.