Is Immersion Corp. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Immersion Corp. has moved from fair to attractive, indicating a positive shift in its perceived value. The company appears to be undervalued, supported by a P/E ratio of 3, a Price to Book Value of 1.07, and an EV to EBITDA ratio of 2.58. In comparison to peers, Immersion Corp. has a more favorable PEG ratio of 0.02, while Xerox Holdings Corp. has a P/E of -1.40 and Desktop Metal, Inc. shows a P/E of -0.79, highlighting Immersion's relative strength in valuation metrics.
Despite a recent downturn, with a year-to-date return of -15.35% compared to the S&P 500's 12.22%, the company's long-term performance over three years shows a return of 25.68%, although this is still below the S&P 500's 70.41%. This suggests that while Immersion Corp. has faced challenges, its attractive valuation metrics indicate potential for recovery and growth.