Is Siddha Ventures overvalued or undervalued?

As of 3 September 2025, Siddha Ventures has moved from a valuation grade of very expensive to risky, indicating a significant downgrade in its perceived value. The company is currently considered undervalued, with a PE ratio of -0.26, an EV to EBITDA ratio of -0.25, and a Price to Book Value of 0.43. These ratios suggest that the company is trading at a discount relative to its earnings and book value, despite the negative figures indicating operational challenges.
In comparison with peers, Bajaj Finance has a PE ratio of 32.03 and an EV to EBITDA of 18.09, while Life Insurance boasts a PE of 11.31 and an EV to EBITDA of 8.77, highlighting the stark contrast in valuation metrics within the industry. Notably, Siddha Ventures has underperformed the Sensex year-to-date, with a decline of 50.16% compared to the Sensex's gain of 3.11%. This underperformance, alongside the current valuation metrics, reinforces the view that Siddha Ventures is undervalued in the market.