Is Ituran Location & Control Ltd. overvalued or undervalued?

As of 10 October 2025, Ituran Location & Control Ltd. has moved from an attractive to a fair valuation grade. The company appears to be fairly valued based on its current metrics. Key ratios include a P/E ratio of 15, an EV/EBITDA of 8.43, and a PEG ratio of 1.26, which suggest that the stock is reasonably priced relative to its earnings growth potential.
In comparison to its peer Cambium Networks Corp., which has a P/E ratio of 13.48 and an EV/EBITDA of 7.50, Ituran is slightly more expensive, indicating a competitive positioning within the industry. Notably, while Ituran has outperformed the S&P 500 with a 1-year return of 32.65% compared to the index's 13.36%, its 3-year return of 55.80% lags behind the S&P 500's 81.39%, suggesting that while the company has shown strong performance, it may not fully justify a higher valuation at this time.