Is First Financial Corp. (Indiana) overvalued or undervalued?

As of 30 June 2025, the valuation grade for First Financial Corp. (Indiana) moved from expensive to fair, indicating a more favorable assessment of its stock. The company appears to be fairly valued based on its P/E ratio of 14, which is in line with its peers, such as The First Bancshares, Inc. (Mississippi) at 13.19 and Farmers National Banc Corp. at 11.62. Additionally, the Price to Book Value stands at 1.36, and the EV to EBITDA ratio is 13.83, suggesting reasonable valuation metrics relative to its industry.
In terms of performance, First Financial Corp. has shown strong returns, with a year-to-date return of 29.29% compared to the S&P 500's 12.22%, and a one-year return of 31.54% versus 17.14% for the index. This outperformance reinforces the notion that the stock is fairly valued at its current price of 59.72, especially when compared to its recent price movements and peer valuations.