Is Power Fin.Corpn. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Power Fin. Corpn. has moved from expensive to attractive, indicating a significant shift in its perceived value. The company is currently assessed as undervalued. Key ratios include a PE ratio of 5.47, a Price to Book Value of 1.13, and a PEG ratio of 0.32, all of which suggest that the stock is trading at a discount compared to its earnings growth potential.
In comparison to its peers, Power Fin. Corpn. stands out with a much lower PE ratio than Bajaj Finance, which is at 37.23, and a more favorable PEG ratio compared to Bajaj Finserv at 2.49. Additionally, its EV to EBITDA ratio of 10.22 is competitive against the industry, reinforcing the attractiveness of its valuation. Notably, despite a recent decline in stock performance over the past year, the company has delivered impressive returns over the longer term, outperforming the Sensex significantly over the past three to five years.