Is CareCloud, Inc. overvalued or undervalued?

As of 19 September 2025, the valuation grade for CareCloud, Inc. has moved from attractive to very attractive, indicating a stronger outlook for the company. Based on the provided metrics, CareCloud appears to be undervalued. Key valuation ratios include a P/E ratio of 9, an EV to EBITDA of 3.32, and a PEG ratio of 0.03, all suggesting that the company is trading at a discount relative to its earnings growth potential.
In comparison to its peers, CareCloud's P/E ratio of 12.6550 stands out against companies like VirnetX Holding Corp., which does not qualify with a P/E of -4.7426, and Intellinetics, Inc., which has a risky rating with a P/E of -28.9315. This indicates that CareCloud is positioned more favorably in terms of valuation. Additionally, while CareCloud's stock has underperformed the S&P 500 over the long term, it has outperformed in the past year with a return of 27.11% compared to the S&P 500's 16.64%, reinforcing the notion that it may be undervalued relative to its growth prospects.