Is Vedant Asset overvalued or undervalued?

As of 28 August 2025, the valuation grade for Vedant Asset has moved from fair to very expensive, indicating a significant shift in its market perception. The company is currently considered overvalued based on its financial metrics. The PE ratio stands at 11.02, while the price-to-book value is 2.03, and the EV to EBITDA ratio is 7.42. These ratios suggest that the company's valuation does not align favorably with its earnings potential.
In comparison to its peers, Vedant Asset's valuation appears high, especially when looking at Life Insurance, which is rated very attractive with a PE ratio of 11.27 and an EV to EBITDA of 8.74. Bajaj Finance is also categorized as very expensive with a PE ratio of 31.28, further highlighting Vedant Asset's relative overvaluation. Recent stock performance shows a stark contrast to the Sensex, with Vedant Asset down 54.48% year-to-date, while the Sensex has gained 2.48%, reinforcing the notion that the stock may be overpriced in the current market environment.