Is Invesco Ltd. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Invesco Ltd. moved from attractive to very attractive, indicating a strong improvement in its valuation outlook. The company appears undervalued based on key metrics, including a P/E ratio of 10, a Price to Book Value of 0.54, and an EV to EBITDA ratio of 5.79. In comparison to peers, Ares Capital Corp. has a P/E of 11.72, while Franklin Resources, Inc. shows a P/E of 14.94, suggesting that Invesco Ltd. is trading at a discount relative to its industry counterparts.
Despite recent underperformance against the S&P 500 over the short term, with a 1-week return of -0.94% compared to the index's 0.71%, Invesco Ltd. has delivered a solid year-to-date return of 32.95%, outpacing the S&P 500's 16.30%. This performance, combined with its attractive valuation metrics, reinforces the conclusion that Invesco Ltd. is currently undervalued.