Is Shree Securities overvalued or undervalued?

As of 29 August 2025, the valuation grade for Shree Securities has moved from attractive to very expensive, indicating a significant shift in its market perception. The company is currently considered overvalued. Key ratios highlight this assessment: the PE ratio stands at 23.14, the EV to EBIT is 22.15, and the PEG ratio is notably low at 0.22, suggesting that despite the high valuation, growth expectations may not justify the price.
In comparison to peers, Shree Securities' valuation metrics appear inflated. For instance, Bajaj Finance has a PE ratio of 31.3, while Life Insurance shows a much more attractive PE of 11.08, indicating that Shree Securities is priced significantly higher than some of its competitors. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -19.44% compared to the Sensex's 2.14%, further reinforcing the notion that the stock may not be a favorable investment at its current valuation.