Is One Mobikwik overvalued or undervalued?

As of 4 September 2025, the valuation grade for One Mobikwik has moved from risky to very expensive, indicating a significant deterioration in its perceived value. The company is currently overvalued, with a PE ratio of -17.82, an EV to EBITDA ratio of -14.64, and a Price to Book Value of 3.61. These ratios highlight the company's negative earnings and high valuation relative to its book value, suggesting that investors are paying a premium for a company that is not generating profits.
In comparison to its peers, One Mobikwik stands out unfavorably. For instance, Bajaj Finance has a PE ratio of 33.36 and an EV to EBITDA of 18.56, while Life Insurance boasts a PE of 11.41 and an EV to EBITDA of 8.87, both indicating more favorable valuations. Additionally, One Mobikwik's recent stock performance has been notably volatile, with a year-to-date return of -52.36%, contrasting sharply with the Sensex's positive return of 3.30% during the same period. This further reinforces the conclusion that One Mobikwik is overvalued in the current market environment.