Is Bio-Techne Corp. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Bio-Techne Corp. has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, as evidenced by its P/E ratio of 37, which is higher than the peer average of 19.09 for Illumina, Inc. and 15.17 for BioMarin Pharmaceutical, Inc. Additionally, Bio-Techne's EV to EBITDA stands at 20.54, compared to Illumina's 13.83, further highlighting its premium valuation. The PEG ratio of 12.84 also suggests that the stock is priced excessively relative to its growth prospects.
In comparison to its peers, Bio-Techne Corp. is positioned unfavorably, with a higher P/E and EV to EBITDA ratios than its competitors, indicating that investors are paying a premium for its earnings and cash flows. The company's recent performance has been disappointing, with a year-to-date return of -26.43%, significantly underperforming the S&P 500's return of 12.22% over the same period. This trend reinforces the notion that Bio-Techne is overvalued in the current market environment.