Is Everspin Technologies, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Everspin Technologies, Inc. has moved from attractive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, particularly when considering its financial metrics. Key ratios include a Price to Book Value of 2.11, an EV to EBIT of -11.65, and an EV to Sales of 2.00, all of which suggest that the company's valuation does not align with its financial performance.
In comparison to its peers, Everspin's P/E ratio stands at 92.2018, significantly higher than NVE Corp.'s more reasonable 22.2621, highlighting the disparity in valuation within the industry. Other peers like CEVA, Inc. and Arteris, Inc. show negative P/E ratios, further emphasizing the risk associated with Everspin's high valuation. Despite a strong year-to-date return of 54.62%, which outperformed the S&P 500's 13.30%, the overall valuation metrics suggest that the stock is not justified at its current price levels.