Is Quest Capital overvalued or undervalued?

As of 18 July 2025, the valuation grade for Quest Capital has moved from fair to attractive, indicating a more favorable outlook for the company. The analysis suggests that Quest Capital is undervalued, particularly when considering its PE ratio of 19.11, a Price to Book Value of 0.28, and an EV to EBITDA of 13.97. These ratios highlight a significant discrepancy when compared to peers such as Life Insurance, which has a PE ratio of 12.08 and an EV to EBITDA of 9.48, and Bajaj Finance, which is classified as very expensive with a PE ratio of 35.18.
Despite a recent decline in stock price, with a year-to-date return of -23.95% compared to a positive 4.63% return for the Sensex, Quest Capital's strong fundamentals and attractive valuation ratios suggest that it presents a compelling investment opportunity. The company's low Price to Book Value and favorable PEG ratio of 0.00 further reinforce its undervalued status in the capital markets industry.