Is Smart Finsec overvalued or undervalued?

As of 17 July 2025, the valuation grade for Smart Finsec has moved from expensive to very expensive, indicating a significant increase in perceived valuation. The company is currently assessed as overvalued. Key ratios include a PE Ratio of 35.59, an EV to EBITDA of 26.55, and a Price to Book Value of 2.87, all of which are considerably higher than many peers in the industry.
In comparison to its peers, Smart Finsec's valuation stands out as very expensive, particularly when contrasted with Life Insurance, which has a PE Ratio of 12.12 and is rated as fair. Other notable comparisons include Bajaj Finance, also categorized as very expensive with a PE Ratio of 34.51. Despite recent stock performance showing a 77.27% return over three years, the current valuation metrics suggest that Smart Finsec is not justified at its current price level.