Is Shardul Sec. overvalued or undervalued?

As of 23 October 2025, the valuation grade for Shardul Securities has moved from fair to risky, indicating a significant deterioration in its financial standing. The company is currently assessed as overvalued. Key ratios highlight this concern: the PE ratio stands at -40.54, the EV to EBITDA is an alarming -427.91, and the EV to Sales ratio is 25.78, all suggesting severe profitability issues.
In comparison to peers, Shardul Securities' financial metrics are starkly unfavorable. For instance, Bajaj Finance has a PE ratio of 39.07 and EV to EBITDA of 20.55, while Life Insurance boasts a PE of 11.68 and an EV to EBITDA of 9.11, both indicating a much healthier valuation. Additionally, Shardul's recent stock performance has been dismal, with a year-to-date return of -43.53%, contrasting sharply with the Sensex's gain of 8.21% during the same period, further reinforcing the notion of overvaluation.