Is Invesco Ltd. overvalued or undervalued?

As of 30 July 2025, the valuation grade for Invesco Ltd. has moved from attractive to very attractive, indicating a stronger outlook for the company. Based on the available metrics, Invesco appears to be undervalued, with a P/E ratio of 10, a Price to Book Value of 0.54, and an EV to EBITDA of 5.79. Comparatively, peers such as Franklin Resources, Inc. have a P/E ratio of 14.94 and an EV to EBITDA of 5.52, while Stifel Financial Corp. shows a P/E of 18.08 and an EV to EBITDA of 9.88, further supporting the undervaluation thesis.
In terms of performance, Invesco has outperformed the S&P 500 in several periods, notably with a year-to-date return of 29.58% compared to the S&P 500's 12.22%, and a one-year return of 35.22% versus 17.14%. This strong performance reinforces the notion that Invesco is currently undervalued relative to its growth potential and peer performance.