Is Bank OZK overvalued or undervalued?

As of 14 November 2025, the valuation grade for Bank OZK has moved from attractive to very attractive. The company appears undervalued, particularly when considering its P/E ratio of 7, which is significantly lower than peers like First Horizon Corp. with a P/E of 13.43 and SouthState Corp. at 15.16. Additionally, Bank OZK's price-to-book value stands at 0.89, and its EV to EBITDA ratio is 3.86, further indicating a favorable valuation compared to the industry.
In terms of performance, Bank OZK has struggled recently, with a year-to-date return of -4.24%, while the S&P 500 has gained 14.49% over the same period. Despite this, the company's strong dividend yield of 305.14% and a return on capital employed (ROCE) of 19.95% suggest solid fundamentals that may not be reflected in its current stock price.