Is Share India Sec. overvalued or undervalued?

As of 27 December 2024, the valuation grade for Share India Securities has moved from fair to very attractive, indicating a significant positive shift in its valuation outlook. The company appears to be undervalued, especially considering its strong performance metrics. The PE ratio stands at 12.02, while the EV to EBITDA ratio is 3.85, both of which are favorable compared to industry standards. Additionally, the PEG ratio is remarkably low at 0.05, suggesting that the stock is undervalued relative to its growth potential.
In comparison to peers, Share India Securities shows a competitive edge with a PE ratio of 12.02, while another peer in the capital markets sector may have a higher PE, indicating that Share India is trading at a discount. The company’s return on capital employed (ROCE) is an impressive 128.75%, further highlighting its operational efficiency. Notably, over the past year, Share India Securities has outperformed the Sensex with a return of 198.13% compared to the Sensex's 7.59%, reinforcing the narrative of its undervaluation.