Is Aehr Test Systems overvalued or undervalued?

Jun 25 2025 08:36 AM IST
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As of April 8, 2025, Aehr Test Systems is considered very attractive due to its undervaluation, with a P/E ratio of 15, a PEG ratio of 0.34, and an ROE of 18.40%, despite a year-to-date decline of 32.35%, supported by a strong five-year return of 476.92%.
As of 8 April 2025, the valuation grade for Aehr Test Systems has moved from attractive to very attractive. The company appears to be undervalued based on its current metrics. Key ratios include a P/E ratio of 15, a PEG ratio of 0.34, and an ROE of 18.40%.

In comparison to its peers, Aehr Test Systems has a P/E ratio of 14.786 and an EV/EBITDA of 110.0312, indicating it is positioned favorably within its industry. Notably, while the company has experienced a decline of 32.35% year-to-date, its strong historical performance over five years, with a return of 476.92%, suggests potential for recovery and growth.
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