Is Hilltop Holdings, Inc. overvalued or undervalued?

As of 24 April 2025, the valuation grade for Hilltop Holdings, Inc. has moved from fair to attractive, indicating a positive shift in its market assessment. The company is currently considered undervalued, supported by a P/E ratio of 15, a Price to Book Value of 0.87, and an EV to EBITDA of 3.18. These metrics suggest that Hilltop Holdings is trading at a discount compared to its intrinsic value.
In comparison to its peers, Hilltop Holdings has a more favorable valuation with a P/E ratio of 14.68, while Atlantic Union Bankshares Corp. is deemed expensive at a P/E of 17.81. Additionally, First Hawaiian, Inc. has a P/E of 13.52, which is still higher than Hilltop's. The company's strong dividend yield of 178.18% and ROE of 5.80% further reinforce its attractive valuation. Despite recent underperformance against the S&P 500 over the 1-year and 3-year periods, the current metrics suggest that Hilltop Holdings presents a compelling investment opportunity.