Is AudioCodes Ltd. overvalued or undervalued?

As of 6 May 2025, the valuation grade for AudioCodes Ltd. has moved from fair to attractive, indicating a positive shift in its perceived value. The company appears to be undervalued based on its current metrics. Key ratios include a P/E ratio of 17, an EV to EBITDA of 10.48, and a PEG ratio of 0.28, which suggests that the stock is trading at a lower valuation compared to its growth potential.
In comparison to its peers, AudioCodes Ltd. has a more favorable P/E ratio than Digi International, Inc. at 34.21 and a better EV to EBITDA ratio than CommScope Holding Co., Inc. at 8.47. Despite recent stock performance trailing the S&P 500 over the past year, the attractive valuation grade and strong ratios suggest that AudioCodes Ltd. presents a compelling investment opportunity at its current price of 9.35.