Is American Shared Hospital Services overvalued or undervalued?

As of 13 August 2025, the valuation grade for American Shared Hospital Services moved from expensive to risky, indicating a shift in market perception. The company appears to be overvalued based on its current metrics, particularly with a P/E ratio of 3, which is significantly lower than the peer average of 16.28, and an EV to EBITDA ratio of 25.74, which suggests high valuation relative to earnings. Additionally, the Price to Book Value stands at 0.62, indicating that the stock is trading below its book value. In comparison to its peers, Mill City Ventures III Ltd. has a P/E ratio of 324.84, while USIO, Inc. has a more reasonable P/E of 14.11, highlighting the disparity in valuation within the industry. The company's recent stock performance has been underwhelming, with a year-to-date return of -21.94% compared to the S&P 500's positive return of 12.22%, further reinforcing the notion that the stock is currently overvalued.