Is HireQuest, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for HireQuest, Inc. has moved from fair to very expensive, indicating a significant shift in its market perception. The company appears overvalued based on its current metrics, including a P/E ratio of 15, a Price to Book Value of 2.15, and an EV to EBITDA ratio of 11.57. In comparison, peers such as AMN Healthcare Services, Inc. have a higher P/E of 20.16, while Kforce, Inc. shows a much higher P/E of 49.41, suggesting that HireQuest may not justify its current valuation relative to its competitors.
Recent performance indicates that HireQuest has underperformed against the S&P 500, with a year-to-date return of -40.82% compared to the index's 13.30%. This stark contrast reinforces the notion that the stock may be overvalued, as it has struggled significantly over multiple periods, including a -41.11% return over the past year.