Is U. Y. Fincorp overvalued or undervalued?

As of 23 June 2025, the valuation grade for U. Y. Fincorp has moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears to be fairly valued at present. Key ratios include a PE Ratio of 26.71, an EV to EBITDA of 18.20, and a Price to Book Value of 0.96, which suggest that while the company is not undervalued, it is also not excessively priced compared to its peers.
In comparison to industry peers, U. Y. Fincorp's PE Ratio is significantly higher than Life Insurance's 12.3 but lower than Bajaj Finance's 34.19, indicating a mixed valuation landscape. The EV to EBITDA ratio also reflects a competitive stance, as U. Y. Fincorp's 18.20 is more attractive than Bajaj Finserv's 13.39. Despite recent underperformance against the Sensex, with a year-to-date return of -31.94% compared to the Sensex's 4.81%, the company's fair valuation suggests potential for recovery in the long term.