Is Eastern Bankshares, Inc. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Eastern Bankshares, Inc. has moved from expensive to very expensive, indicating a significant deterioration in its valuation outlook. The company is currently considered overvalued. Key ratios include a Price to Book Value of 0.88, an EV to EBIT of -22.40, and an EV to Sales of 2.54, all of which suggest that the company's financial metrics are not favorable compared to its peers.
In comparison to its peers, Ameris Bancorp has a fair valuation with a P/E ratio of 13.35, while International Bancshares Corp. is very attractive with a P/E of 16.50. Eastern Bankshares, Inc. shows a stark contrast with its negative valuation ratios, reinforcing its overvalued status. Over the past year, the stock has returned 7.35%, significantly underperforming the S&P 500's return of 19.89%, further highlighting the challenges the company faces in the current market environment.