Is Customers Bancorp, Inc. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Customers Bancorp, Inc. moved from expensive to fair, indicating a more favorable assessment of its stock. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 12, a price-to-book value of 0.92, and an EV to capital employed ratio of 1.49. In comparison, peers such as First Bancorp (North Carolina) have a much higher P/E ratio of 23.74, while 1st Source Corp. is similarly rated fair with a P/E of 12.92.
Customers Bancorp has demonstrated strong performance with a year-to-date return of 40.47%, significantly outperforming the S&P 500's return of 12.22% over the same period. This performance, coupled with its fair valuation, suggests that the stock is positioned well in the market, reflecting its potential for continued growth.