Is Ujjivan Small overvalued or undervalued?

As of 25 June 2025, the valuation grade for Ujjivan Small has moved from attractive to fair. The company appears to be fairly valued based on its current metrics. The PE ratio stands at 13.15, the Price to Book Value is 1.59, and the Dividend Yield is 3.04%.
In comparison with its peers, Ujjivan Small's PE ratio is significantly lower than HDFC Bank's 22.54 and ICICI Bank's 21.51, both of which are considered expensive. Additionally, the company's ROE is 12.11%, which is competitive within the sector. Notably, Ujjivan Small has outperformed the Sensex with a year-to-date return of 46.11% compared to the Sensex's 5.91%, reinforcing its position in the market.