Is Sangam Finserv overvalued or undervalued?

As of 7 November 2025, Sangam Finserv's valuation grade has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued, with a PE ratio of 18.62, EV to EBITDA of 12.12, and a PEG ratio of 3.85. These figures suggest that the stock is trading at a premium compared to its earnings growth potential.
In comparison to its peers, Sangam Finserv's valuation appears high, especially when contrasted with Life Insurance, which is rated very attractive with a PE of 11.44 and EV to EBITDA of 0.37. Additionally, Bajaj Finserv is also considered expensive with a PE of 35.3. While Sangam Finserv has shown strong returns over the long term, its recent performance has lagged behind the Sensex, particularly with a year-to-date return of -33.93% compared to the Sensex's 6.50%. This context reinforces the view that Sangam Finserv is currently overvalued.