Is Artesian Resources Corp. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Artesian Resources Corp. has moved from attractive to fair. Based on the current metrics, the company appears to be fairly valued. Key ratios include a P/E ratio of 16, an EV to EBITDA of 10.77, and a PEG ratio of 0.70, indicating that the stock is reasonably priced relative to its growth expectations. In comparison to its peers, Artesian Resources Corp. has a lower P/E ratio than Aris Water Solutions, Inc. at 21.89 and Consolidated Water Co. Ltd. at 30.71, both of which are considered very expensive. Additionally, the company's EV to EBITDA ratio is more favorable than its peers, suggesting a better valuation in terms of earnings before interest, taxes, depreciation, and amortization. However, the stock has underperformed against the S&P 500, with a 1-year return of -14.08% compared to the index's 17.14%, highlighting a significant lag in performance.