Is Siddha Ventures overvalued or undervalued?

As of 17 October 2025, the valuation grade for Siddha Ventures has moved from risky to very expensive, indicating a significant concern regarding its current valuation. The company is assessed as overvalued based on its negative PE ratio of -0.25, an EV to EBIT of -0.25, and a ROCE of -167.58%. These ratios highlight severe financial distress and inefficiency in generating returns relative to its capital employed.
In comparison to its peers, Siddha Ventures stands out unfavorably; for instance, Bajaj Finance has a PE ratio of 38.21, while Life Insurance boasts a PE of 11.49, both indicating much stronger valuations. The stark contrast in these ratios suggests that Siddha Ventures is not only overvalued but also struggling significantly compared to its industry counterparts. Furthermore, while the stock has shown a 3.19% return over the past week, it has underperformed the Sensex significantly on a year-to-date basis, with a decline of 51.11% compared to the Sensex's gain of 7.44%.