Is Vedant Asset overvalued or undervalued?

As of 17 November 2025, the valuation grade for Vedant Asset has moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently assessed as overvalued, with a PE ratio of 50.59, an EV to EBITDA of 8.50, and a ROE of 3.90%. These ratios suggest that investors are paying a premium for the stock relative to its earnings and book value.
In comparison with peers, Vedant Asset's valuation metrics are notably higher than those of Bajaj Finance, which has a PE ratio of 34.85 and an EV to EBITDA of 19.61, and Life Insurance, which boasts a more attractive PE ratio of 11.33 and an EV to EBITDA of 9.36. The stark contrast in these ratios underscores Vedant Asset's overvaluation in the current market. Additionally, the company's stock has underperformed significantly against the Sensex, with a year-to-date return of -54.02% compared to the Sensex's 8.72%, further reinforcing the notion of overvaluation.