Is First Bancorp (North Carolina) overvalued or undervalued?

As of 26 July 2023, First Bancorp (North Carolina) has moved from a fair to an expensive valuation grade. The company appears overvalued based on its current metrics, including a P/E ratio of 20, a Price to Book Value of 1.14, and an EV to EBITDA of 8.98. In comparison to its peers, Trustmark Corp. has a fair P/E of 11.24, while Enterprise Financial Services Corp. is rated very attractive with an EV to EBITDA of 11.88, highlighting First Bancorp's relative overvaluation.
Recent stock performance shows that First Bancorp has outperformed the S&P 500 year-to-date with a return of 24.95% compared to 12.22%, but it lags behind the benchmark over the longer three-year and ten-year periods, with returns of 43.71% and 158.91% respectively, compared to 70.41% and 231.64% for the S&P 500. This suggests that while the company has had a strong recent performance, its current valuation may not be justified given the broader market trends.