Is Relic Tech. overvalued or undervalued?

As of 10 October 2025, the valuation grade for Relic Tech. has moved from risky to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, as evidenced by its PE ratio of -15.13 and EV to EBITDA ratio of -14.51, both of which are negative and suggest that the company is not generating profits relative to its valuation. Additionally, the Price to Book Value stands at 4.23, further highlighting the inflated valuation compared to its actual book value.
In comparison to its peers, Relic Tech. exhibits stark contrasts; for instance, Bajaj Finance has a PE ratio of 36.56 and an EV to EBITDA of 19.67, while Life Insurance shows a more attractive valuation with a PE of 11.65 and an EV to EBITDA of 9.08. These comparisons underscore that Relic Tech. is not only overvalued relative to its own financial metrics but also when placed alongside its industry peers. Despite a remarkable year-to-date return of 249.33%, which outpaces the Sensex's 5.58%, the underlying financial ratios suggest that investors should approach with caution given the current valuation status.