Is Vertex Secur. overvalued or undervalued?

As of 10 October 2025, Vertex Securities has moved from a risky to an expensive valuation grade. The company is currently overvalued, with a PE ratio of -28.94, an EV to EBITDA of -26.95, and a price to book value of 3.29. These ratios indicate significant financial distress, particularly the negative earnings ratios, which suggest that the company is not generating profit relative to its valuation.
In comparison to its peers, Vertex Securities stands out unfavorably. For instance, Bajaj Finance has a PE ratio of 36.56 and an EV to EBITDA of 19.67, while Life Insurance boasts a PE of 11.65 and an EV to EBITDA of 9.08, both indicating a healthier valuation. Additionally, the company's recent stock performance has been poor, with a year-to-date return of -30.05%, contrasting sharply with the Sensex's return of 5.58% over the same period, further reinforcing the notion that Vertex Securities is overvalued in the current market landscape.