Is One Mobikwik overvalued or undervalued?

As of 17 October 2025, the valuation grade for One Mobikwik has moved from risky to very expensive, indicating a significant deterioration in its valuation outlook. The company is currently overvalued, as evidenced by its negative PE ratio of -17.19, an EV to EBITDA ratio of -13.92, and a return on equity (ROE) of -20.27%.
In comparison to its peers, One Mobikwik's valuation metrics are starkly unfavorable; for instance, Bajaj Finance has a PE ratio of 38.21 and an EV to EBITDA of 20.25, while Life Insurance boasts an EV to EBITDA of 8.94. The substantial disparity in these ratios suggests that One Mobikwik is not only overvalued but also underperforming relative to its industry counterparts. Additionally, the company's stock has significantly underperformed the Sensex, with a year-to-date return of -54.43% compared to the Sensex's gain of 7.44%, further reinforcing the overvaluation narrative.