Is CorVel Corp. overvalued or undervalued?

As of 22 May 2025, the valuation grade for CorVel Corp. has moved from expensive to fair. The company appears to be fairly valued at this time. Key ratios include a P/E ratio of 102, an EV to EBITDA of 63.25, and a ROCE of 75.74%. In comparison, Ryan Specialty Holdings, Inc. is considered very expensive with a P/E of 116.48 and an EV to EBITDA of 21.48, indicating that CorVel is more attractively priced relative to this peer.
Despite recent stock performance showing a 1-year return of 26.63% compared to the S&P 500's 10.26%, the valuation metrics suggest that CorVel Corp. is currently positioned fairly in the market. The high ROE of 29.56% further supports the notion of a well-performing company, although the elevated P/E ratio indicates that investors are paying a premium for future growth expectations.