Is FactSet Research Systems, Inc. overvalued or undervalued?

As of 19 December 2024, FactSet Research Systems, Inc. has moved from an attractive to a fair valuation grade. The company appears to be overvalued based on its current metrics, with a P/E ratio of 32, a Price to Book Value of 8.73, and an EV to EBITDA of 21.45. In comparison, Akamai Technologies, Inc. has a lower P/E of 22.51 and an EV to EBITDA of 11.29, indicating that FactSet may be priced higher relative to its peers in the Commercial Services & Supplies industry.
The stock has underperformed significantly against the S&P 500, with a year-to-date return of -37.28% compared to the index's 12.22%. This stark contrast reinforces the notion that FactSet is currently overvalued in the market.