Is Munoth Fin.Serv. overvalued or undervalued?

As of 10 October 2025, the valuation grade for Munoth Fin.Serv. has moved from risky to expensive. The company is currently overvalued, as indicated by its negative PE ratio of -29.53 and EV to EBIT of -29.94, which are significant outliers compared to its peers. The Price to Book Value stands at 2.79, suggesting a premium over its book value despite the negative returns on capital, with a ROCE of -2.64% and ROE of -3.78%.
In comparison to its peers, Bajaj Finance has a PE ratio of 36.56 and an EV to EBITDA of 19.67, while Life Insurance shows a much more attractive valuation with a PE of 11.65 and an EV to EBITDA of 9.08. The stark contrast in these ratios highlights Munoth Fin.Serv.'s overvaluation. Furthermore, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -16.29% compared to the Sensex's 5.58%, reinforcing the notion of its current overvaluation.