Is Ames National Corp. overvalued or undervalued?

As of 19 September 2025, the valuation grade for Ames National Corp. has moved from attractive to fair, indicating a shift in its perceived value. Based on the current metrics, the company appears to be fairly valued. Key ratios include a P/E ratio of 14, a Price to Book Value of 0.87, and an EV to EBITDA of 4.92.
In comparison to peers, Community West Bancshares has a P/E of 15.19, while Colony Bankcorp, Inc. stands out with a very attractive P/E of 10.86. Notably, Ames National Corp. has underperformed the S&P 500 over the 3-year and 5-year periods, with returns of -7.17% and 14.36%, respectively, compared to 70.89% and 100.77% for the index, suggesting a need for cautious optimism regarding its future performance.