Is Carter Bankshares, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Carter Bankshares, Inc. moved from fair to attractive, indicating a positive shift in its valuation outlook. The company appears undervalued, supported by a P/E ratio of 14, a price-to-book value of 0.95, and an EV to EBITDA ratio of 9.46. In comparison to peers, Guaranty Bancshares, Inc. has a higher P/E ratio of 18.33, while Peoples Financial Services Corp. boasts a notably low EV to EBITDA of 10.84, suggesting that Carter Bankshares may offer better value at its current price.
Despite recent underperformance against the S&P 500, with a 1Y return of -2.71% compared to the index's 14.08%, the long-term outlook remains promising, as evidenced by a substantial 5Y return of 158.17%. This combination of attractive valuation ratios and a favorable peer comparison reinforces the conclusion that Carter Bankshares, Inc. is currently undervalued.