Is Gray Television, Inc. overvalued or undervalued?

As of 29 July 2024, Gray Television, Inc. has moved from expensive to very attractive, indicating a significant improvement in its valuation outlook. The company is currently undervalued, with a P/E ratio of 2, a price to book value of 0.18, and an EV to EBITDA of 5.38, all suggesting that the stock is trading at a substantial discount compared to its intrinsic value.
In comparison to its peers, Gray Television's P/E ratio is notably lower than Sinclair, Inc. at 6.25 and The E.W. Scripps Co. at 1.58, reinforcing its undervaluation. Despite recent stock performance showing a decline over the past week and month, with returns of -6.13% and -4.84% respectively, the year-to-date return of 74.92% significantly outpaces the S&P 500's 12.22%, highlighting the potential for recovery and growth in the long term.