Is Monarch Networth overvalued or undervalued?

As of 7 November 2025, the valuation grade for Monarch Networth has moved from very attractive to fair. This suggests a reassessment of its market position, indicating that the company is currently fairly valued. Key ratios include a PE ratio of 15.62, an EV to EBIT of 8.40, and a ROE of 18.74%.
In comparison with peers, Bajaj Finance is considered very expensive with a PE ratio of 38.09, while Life Insurance is rated very attractive with a PE of 11.44. Monarch's valuation appears reasonable when juxtaposed against these competitors, reinforcing the conclusion that it is fairly valued. Notably, the company's stock has underperformed relative to the Sensex, with a year-to-date return of -30.36% compared to the Sensex's 6.50%, further emphasizing the need for cautious optimism in its current valuation.