Is Vertex Secur. overvalued or undervalued?

As of 10 October 2025, the valuation grade for Vertex Securities has moved from risky to expensive, indicating a shift in perception regarding the company's financial health and market position. Based on the analysis, Vertex Securities is currently overvalued. The company has a PE ratio of -28.94, an EV to EBITDA ratio of -26.95, and a Price to Book Value of 3.29, which are concerning indicators of its profitability and valuation relative to its assets.
In comparison to its peers, Vertex Securities stands out with a significantly negative PE and EV to EBITDA ratios, while competitors like Bajaj Finance and Bajaj Finserv have PE ratios of 36.56 and 33.63, respectively, highlighting a stark contrast in valuation metrics. Additionally, the company's recent stock performance has been underwhelming, with a year-to-date return of -30.05%, compared to a positive 5.58% return from the Sensex, further reinforcing the notion of overvaluation in the current market context.