Is Booz Allen Hamilton Holding Corp. overvalued or undervalued?

As of 17 October 2025, Booz Allen Hamilton Holding Corp. moved from fair to attractive in its valuation grade, indicating a positive shift in its perceived value. The company appears undervalued, particularly when considering its P/E ratio of 19, which is lower than the peer average of approximately 15.81, and a PEG ratio of 0.40, suggesting strong growth potential relative to its price. Additionally, the EV to EBITDA ratio stands at 13.31, which is also competitive against peers like ICON plc with an EV to EBITDA of 10.21.
In comparison to its peers, Booz Allen Hamilton's valuation metrics indicate it is well-positioned, especially when contrasted with Charles River Laboratories, which has a significantly higher P/E of 27.84. Despite the attractive valuation, the company's recent stock performance has lagged behind the S&P 500, with a year-to-date return of -23.82% compared to the index's 13.30%. This underperformance over the short term may present a buying opportunity for investors looking for value.