Is Genie Energy Ltd. overvalued or undervalued?

As of 7 August 2025, the valuation grade for Genie Energy Ltd. has moved from expensive to very expensive, indicating a significant concern regarding its current pricing relative to its fundamentals. The company appears overvalued based on its high valuation ratios, including a P/E ratio of 43, a Price to Book Value of 3.34, and an EV to EBITDA ratio of 44.54, all of which exceed the peer average P/E of 36.93 and EV to EBITDA of 41.18.
In comparison to its peers, Genie Energy's financial metrics suggest it is not only overvalued but also underperforming, with a return on equity (ROE) of 7.71% that is relatively low for the industry. Over the past year, Genie Energy has returned -10.65%, significantly lagging behind the S&P 500's 17.14% return, reinforcing the notion that the stock is not only expensive but also underperforming in the broader market context.