Is Alignment Healthcare, Inc. overvalued or undervalued?

Jun 25 2025 09:08 AM IST
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As of October 5, 2023, Alignment Healthcare, Inc. is considered attractive and undervalued with a P/E ratio of 18.5 and a P/S ratio of 1.2, trading at a discount compared to peers like Centene and Molina Healthcare, while also outperforming the Sensex.
As of 5 October 2023, Alignment Healthcare, Inc. has moved from fair to attractive. The company is currently undervalued based on its financial metrics. Key ratios include a price-to-earnings (P/E) ratio of 18.5, a price-to-sales (P/S) ratio of 1.2, and a return on equity (ROE) of 12%.

In comparison to its peers, Centene Corporation has a P/E ratio of 20.3, while Molina Healthcare shows a P/S ratio of 1.5. This indicates that Alignment Healthcare is trading at a discount relative to its industry counterparts. Additionally, recent stock performance has outpaced the Sensex, further supporting the notion of its undervaluation.
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