Is Ontic Finserve overvalued or undervalued?

As of 20 October 2025, the valuation grade for Ontic Finserve has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently considered overvalued. Key ratios include a PE Ratio of 8.85, an EV to EBIT of 7.18, and an ROE of 58.84%.
In comparison to peers, Bajaj Finance has a much higher PE Ratio of 38.6, while Life Insurance boasts a more attractive EV to EBITDA of 9.01. The substantial divergence in these ratios suggests that Ontic Finserve's valuation is not justified relative to its peers. Additionally, Ontic Finserve has significantly outperformed the Sensex, with a year-to-date return of 172.73% compared to the Sensex's 7.97%, which may contribute to the inflated valuation perception.