Is First Western Financial, Inc. overvalued or undervalued?

As of 26 September 2025, the valuation grade for First Western Financial, Inc. has moved from fair to attractive, indicating a positive shift in its perceived value. The company appears to be undervalued, supported by a P/E ratio of 20, a price-to-book value of 0.79, and an EV to EBITDA ratio of 0.86, which are favorable compared to its peers.
In comparison to its industry, First Western's P/E ratio is lower than that of GCM Grosvenor, Inc. at 78.97, while it is significantly more attractive than Gladstone Capital Corp. with a P/E of 7.68. Additionally, the PEG ratio of 0.56 suggests that the stock is reasonably priced relative to its growth rate. Despite recent underperformance in the short term, with a 1-week return of -2.79% compared to the S&P 500's -0.31%, the year-to-date return of 15.75% outpaces the S&P 500's 12.96%, reinforcing the notion that the stock may be undervalued.