Is Motil.Oswal.Fin. overvalued or undervalued?

As of 4 November 2025, the valuation grade for Motilal Oswal Financial Services has moved from very expensive to expensive. The company appears to be overvalued based on its current metrics. Key ratios include a PE ratio of 29.25, a price to book value of 0.46, and a negative EV to EBIT of -0.90, indicating potential concerns regarding profitability and valuation.
In comparison to its peers, Bajaj Finance has a significantly higher PE ratio of 37.67, while Life Insurance stands out with a much lower PE of 11.76, suggesting that Motilal Oswal is priced at a premium relative to some competitors. Additionally, the company's recent stock performance has lagged behind the Sensex, particularly over the past week, where it declined by 9.60% compared to the Sensex's 1.38% drop. Overall, the evidence suggests that Motilal Oswal Financial Services is overvalued in the current market environment.