Is Smart Finsec overvalued or undervalued?
As of October 28, 2025, Smart Finsec is fairly valued with a PE ratio of 26.48 and an EV to EBITDA of 16.64, outperforming Bajaj Finance's expensive valuation but underperforming the Sensex year-to-date.
As of 28 October 2025, the valuation grade for Smart Finsec has moved from expensive to fair, indicating a more favorable assessment of its market position. The company is currently fairly valued, with a PE ratio of 26.48, an EV to EBITDA ratio of 16.64, and a ROCE of 29.73%. In comparison to its peers, Smart Finsec's valuation metrics stand out, particularly against Bajaj Finance, which is considered very expensive with a PE ratio of 38.39, and Life Insurance, which is very attractive with an EV to EBITDA of 9.11. Despite recent underperformance relative to the Sensex, where Smart Finsec has shown a year-to-date decline of 32.06% compared to the Sensex's gain of 8.30%, the current valuation suggests that the stock is positioned fairly within its sector.
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