Is Credicorp Ltd. overvalued or undervalued?

As of 11 August 2025, the valuation grade for Credicorp Ltd. has moved from attractive to very attractive, indicating a strong improvement in its perceived value. The company appears undervalued based on its current metrics, with a P/E ratio of 13, a Price to Book Value of 2.10, and an EV to EBITDA ratio of 7.43. In comparison, peers such as Huntington Bancshares, Inc. and Regions Financial Corp. have P/E ratios of 12.37 and 12.07, respectively, suggesting that Credicorp may be trading at a discount relative to its competitors.
Additionally, Credicorp has demonstrated impressive returns, with a year-to-date return of 42.87% compared to the S&P 500's 12.22%, and a one-year return of 45.17% against the S&P 500's 17.14%. This strong performance reinforces the notion that the stock is undervalued in the current market environment.