Is DLH Holdings Corp. overvalued or undervalued?

As of 10 June 2025, the valuation grade for DLH Holdings Corp. has moved from attractive to fair, indicating a shift in its perceived value. The company appears to be fairly valued at this time. Key ratios include a P/E ratio of 15, a Price to Book Value of 0.70, and an EV to EBITDA ratio of 5.72, which suggest that the company is priced reasonably compared to its earnings and book value.
In comparison to peers, DLH Holdings Corp. has a lower P/E ratio than Barrett Business Services, Inc., which stands at 20.28, but is more favorable than Heidrick & Struggles International, Inc. at 11.21. The company's recent performance has been underwhelming, with a year-to-date return of -29.64%, contrasting sharply with the S&P 500's gain of 2.44% over the same period. Overall, while the company is not undervalued, it is positioned fairly within its market context.