Is Motil.Oswal.Fin. overvalued or undervalued?

As of 6 October 2025, the valuation grade for Motilal Oswal Financial Services has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently considered overvalued based on its financial ratios, with a Price-to-Earnings (PE) ratio of 20.18, a Price-to-Book (P/B) ratio of 5.07, and an EV to EBITDA ratio of 12.40. These figures suggest that the stock is trading at a premium compared to its earnings and book value.
In comparison to its peers, Motilal Oswal's PE ratio is notably lower than Bajaj Finance's 36.03, but higher than Life Insurance's attractive valuation of 11.78. Additionally, the PEG ratio of 0.00 indicates a lack of growth expectations, further supporting the overvaluation stance. While the company has shown strong historical returns, outperforming the Sensex over the past year with a return of 28.61% compared to the Sensex's 0.12%, the current valuation metrics suggest caution for potential investors.