Is Five Point Holdings LLC overvalued or undervalued?

As of 23 January 2025, the valuation grade for Five Point Holdings LLC has moved from attractive to very attractive, indicating a significant positive shift in its perceived value. The company is currently assessed as undervalued, supported by a P/E ratio of 7, a Price to Book Value of 0.77, and an EV to EBITDA of 0.66. These ratios suggest that the stock is trading at a discount compared to its earnings and book value.
In comparison to its peers, Five Point Holdings LLC stands out with a notably lower P/E ratio of 6.72 when compared to FRP Holdings, Inc. at 75.43 and Anywhere Real Estate, Inc. which is at a risky valuation with a negative P/E. Additionally, the PEG ratio of 0.16 further emphasizes its undervaluation relative to growth expectations. Notably, Five Point Holdings has outperformed the S&P 500 with a year-to-date return of 46.30% compared to the index's 2.44%, reinforcing the attractiveness of its current valuation.