Is Heartland Express, Inc. overvalued or undervalued?

As of 23 April 2024, the valuation grade for Heartland Express, Inc. has moved from expensive to risky. The company is currently considered undervalued, despite its challenging financial metrics. Key ratios include a Price to Book Value of 0.97, an EV to EBITDA of 6.56, and a negative ROCE of -3.05%.
In comparison to peers, Heartland Express has a significantly lower EV to EBITDA ratio than Marten Transport Ltd., which stands at 7.70, and Forward Air Corp. at 12.79, both of which are classified as risky or very expensive. The company's recent stock performance has lagged behind the S&P 500, with a year-to-date return of -21.75% compared to the index's 2.44%, reinforcing the perception of undervaluation in the current market context.