Is Siddha Ventures overvalued or undervalued?

As of 22 August 2025, Siddha Ventures has moved from a risky to a very expensive valuation grade. The company is currently overvalued, with a PE ratio of -0.27, an EV to EBITDA of -0.26, and a ROCE of -167.58%. These metrics indicate significant financial distress and inefficiency in generating returns relative to its capital employed.
In comparison to its peers, Siddha Ventures stands out negatively against companies like Life Insurance, which has a PE of 11.55 and an EV to EBITDA of 8.99, and Bajaj Finance, with a PE of 31.91 and an EV to EBITDA of 18.05. The stark contrast in valuation ratios highlights Siddha Ventures' overvaluation in the current market context. Additionally, while the stock has shown a notable return of 6.21% over the past week compared to the Sensex's 0.88%, its year-to-date performance reflects a decline of 48.25%, further emphasizing its overvalued status.