Is Duke Energy Corp. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Duke Energy Corp. has moved from fair to expensive, indicating that the stock is overvalued. The company exhibits a P/E ratio of 18, a Price to Book Value of 1.77, and an EV to EBITDA of 12.32, which are relatively high compared to its peers. For instance, American Electric Power Co., Inc. has a lower P/E of 16.05, while Constellation Energy Corp. is at 33.93, suggesting that Duke Energy is positioned in the middle of the peer spectrum but leans towards the expensive side.
In terms of recent performance, Duke Energy's stock has returned 3.89% over the past year compared to the S&P 500's 17.14%, further reinforcing the notion that the stock may not be a compelling investment at its current valuation. Overall, the combination of high valuation ratios and underperformance relative to the market suggests that Duke Energy Corp. is overvalued.