Is Goosehead Insurance, Inc. overvalued or undervalued?

As of 23 April 2025, Goosehead Insurance, Inc. has moved from an attractive to a risky valuation grade, indicating a shift towards overvaluation concerns. The company appears to be overvalued, as evidenced by a P/E ratio of 136, an EV to EBITDA ratio of 53.86, and a PEG ratio of 2.05, which are significantly higher than those of its peers. For instance, Ryan Specialty Holdings, Inc. has a P/E of 95.23 and an EV to EBITDA of 16.58, while CorVel Corp. shows a more reasonable P/E of 79.07 and an EV to EBITDA of 49.08.
The stock has underperformed relative to the S&P 500, with a year-to-date return of -25.05% compared to the index's 12.22%. This trend reinforces the notion that Goosehead Insurance, Inc. is currently overvalued in the market.