Is Mercantile Vent. overvalued or undervalued?

As of 24 September 2025, the valuation grade for Mercantile Vent. has moved from expensive to fair. The company is currently fairly valued, with a PE ratio of 31.68, an EV to EBITDA ratio of 306.72, and a PEG ratio of 5.53. In comparison to its peers, Bajaj Finance is classified as very expensive with a PE ratio of 36.78, while Life Insurance is considered very attractive with a PE ratio of 11.61.
Despite the fair valuation, Mercantile Vent. has shown strong performance, with a year-to-date return of 33.85% compared to the Sensex's 4.58%. This indicates that the stock has outperformed the broader market significantly over the same period. Overall, the company's financial metrics and peer comparisons suggest it is fairly valued in the current market environment.