Is CCC Intelligent Solutions Holdings, Inc. overvalued or undervalued?

As of 31 October 2025, the valuation grade for CCC Intelligent Solutions Holdings, Inc. has moved from attractive to risky, indicating a shift in its perceived investment quality. The company appears to be overvalued, with a P/E ratio of 274, significantly higher than peers like Jack Henry & Associates, Inc. at 36.61 and Paylocity Holding Corp. at 40.42. Additionally, the EV to EBITDA ratio stands at 87.81, which is also elevated compared to the industry average, suggesting that the stock may not be justified at its current price.
In terms of returns, CCC Intelligent Solutions has underperformed relative to the S&P 500 across multiple periods, with a year-to-date return of -28.56% compared to the S&P 500's 16.30%. This trend reinforces the notion that the stock is overvalued, as it struggles to deliver competitive returns despite its high valuation ratios.