Is Golub Capital BDC, Inc. overvalued or undervalued?

As of 30 November 2020, the valuation grade for Golub Capital BDC, Inc. moved from risky to very attractive, indicating a significant improvement in its perceived value. The company is currently undervalued, with a P/E ratio of 14, which is lower than its peer Janus Henderson Group Plc at 14.78 and Main Street Capital Corp. at 9.97. Additionally, Golub's EV to EBITDA stands at 6.68, while its peers like Hercules Capital, Inc. show a higher ratio of 10.16, reinforcing the undervaluation perspective.
With a Price to Book Value of 1.00 and a dividend yield of 5.94%, Golub Capital presents a compelling investment opportunity compared to its peers. Despite recent stock performance lagging behind the S&P 500 over various time frames, the company's solid ROCE of 14.92% and ROE of 7.29% suggest strong operational efficiency. Overall, Golub Capital BDC, Inc. appears to be a well-positioned investment in the current market landscape.