Is UTI AMC overvalued or undervalued?

As of 24 July 2025, UTI AMC's valuation grade has moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears to be fairly valued at this time. Key ratios include a PE ratio of 24.90, an EV to EBIT of 16.78, and a dividend yield of 3.37%.
In comparison with peers, UTI AMC's PE ratio is significantly lower than Bajaj Finance, which stands at 35.82, and Life Insurance, which has a PE of 12.02, suggesting that UTI AMC is positioned competitively within the market. Additionally, UTI AMC's return over the past year has outperformed the Sensex, with a stock return of 39.77% compared to the Sensex's 2.54%, reinforcing its valuation story.