Is Ujjivan Small overvalued or undervalued?

As of 12 September 2025, the valuation grade for Ujjivan Small has moved from very expensive to expensive. This indicates a slight improvement in its valuation outlook, yet the company remains on the higher end of the valuation spectrum. The current assessment suggests that Ujjivan Small is overvalued, particularly when compared to its peers. Key ratios include a PE ratio of 17.10, a Price to Book Value of 1.51, and a PEG ratio of 0.00, which reflects a lack of growth expectations.
In comparison to its peers, Ujjivan Small's PE ratio of 17.10 is lower than HDFC Bank's 21.41 and ICICI Bank's 20.69, both categorized as expensive. However, it is notably higher than Axis Bank's fair valuation PE of 13.12, indicating a potential overvaluation relative to more reasonably priced competitors. Additionally, while Ujjivan Small has shown strong stock performance with a year-to-date return of 37.99% compared to the Sensex's 4.82%, this does not necessarily justify its current valuation level.