Is ACM Research, Inc. overvalued or undervalued?

As of 10 October 2025, the valuation grade for ACM Research, Inc. has moved from attractive to very attractive, indicating a strong positive outlook for the company. Based on the current metrics, ACM Research appears to be undervalued, particularly when considering its P/E ratio of 12, which is significantly lower than the industry average, and a PEG ratio of 0.99, suggesting growth potential at a reasonable price. Additionally, the EV to EBITDA ratio stands at 8.05, further supporting the undervaluation thesis.
In comparison to its peers, ACM Research's P/E ratio of 12.76 is notably lower than Modine Manufacturing Co. at 36.40 and Mueller Water Products, Inc. at 26.00, both of which are considered fairly valued. This positions ACM Research favorably within the industrial manufacturing sector. Furthermore, the company's stock has outperformed the S&P 500 significantly year-to-date, with a return of 142.32% compared to the S&P 500's 11.41%, reinforcing the positive valuation narrative.