Is IF Bancorp, Inc. overvalued or undervalued?

As of 3 October 2025, the valuation grade for IF Bancorp, Inc. has moved from fair to attractive, indicating a more favorable assessment of its value. The company appears to be undervalued, particularly when considering its P/E ratio of 26, which is significantly higher than the peer average of approximately 20.89 for similar institutions. Additionally, the PEG ratio stands at a compelling 0.38, suggesting that the stock may be undervalued relative to its growth prospects, while the Price to Book Value of 1.09 indicates a reasonable valuation compared to its assets.
In comparison to its peers, First Capital, Inc. has a P/E of 12.46 and CF Bankshares, Inc. has a P/E of 10.00, both of which are lower than IF Bancorp's valuation, reinforcing the notion that IF Bancorp may be undervalued. Despite recent underperformance against the S&P 500 over the past three years, where it returned 33.7% compared to the benchmark's 82.57%, the overall valuation metrics suggest that IF Bancorp has potential for growth and may present an attractive investment opportunity.