Is Hawthorn Bancshares, Inc. overvalued or undervalued?

As of 10 October 2023, Hawthorn Bancshares, Inc. has moved from fair to attractive based on its recent performance and valuation metrics. The company appears to be undervalued, with a price-to-earnings (P/E) ratio of 10.5, a price-to-book (P/B) ratio of 1.2, and a return on equity (ROE) of 12.8%. In comparison, its peers, such as First Financial Bankshares with a P/E of 15.0 and a P/B of 2.0, and Heritage Financial Corporation with a P/E of 14.5 and a P/B of 1.8, highlight Hawthorn's relative attractiveness.
Additionally, Hawthorn's recent stock performance has outpaced the Sensex, reinforcing the notion that it is undervalued in the current market. Overall, the combination of favorable ratios and peer comparisons supports the conclusion that Hawthorn Bancshares, Inc. is positioned well for potential growth.