Is Greenfire Resources Ltd. overvalued or undervalued?

As of 21 November 2025, the valuation grade for Greenfire Resources Ltd. moved from very attractive to attractive, indicating a shift in perceived value. The company is currently overvalued, as suggested by its P/E ratio of 3.74, which is significantly higher than the industry average, and an EV to EBITDA ratio of 5.75, also above typical industry benchmarks. Additionally, the PEG ratio is notably low at 0.0041, further supporting the notion of overvaluation.
In comparison to peers, Greenfire Resources Ltd. stands out with a P/E ratio that is higher than many in the oil sector, which typically hovers around 3.5. Notably, the company has underperformed against the S&P 500, with a year-to-date return of -17.63% compared to the index's 12.26%, and a three-year return of -42.13% versus 67.17% for the S&P 500. This performance reinforces the view that the stock is currently overvalued.