Is Home Federal Bancorp, Inc. of Louisiana overvalued or undervalued?

As of 21 November 2025, the valuation grade for Home Federal Bancorp, Inc. of Louisiana moved from attractive to very attractive. The company appears to be undervalued based on its financial metrics. Key ratios include a P/E ratio of 13, a Price to Book Value of 0.80, and an EV to EBITDA of 4.05, which suggest that the stock is trading at a discount compared to its earnings and book value.
In comparison to peers, Home Federal Bancorp's P/E ratio of 13 is significantly lower than HMN Financial, Inc. at 21.55, indicating a more favorable valuation. Similarly, Magyar Bancorp, Inc. also shows a very attractive valuation with a P/E of 11.61, reinforcing the notion that Home Federal is positioned well within its industry. Notably, the company's stock has outperformed the S&P 500 with a year-to-date return of 21.96% compared to the index's 12.26%, further supporting the case for its undervaluation.