Is LCNB Corp. overvalued or undervalued?

As of 31 May 2024, LCNB Corp. has moved from an expensive to a very attractive valuation grade. The company appears undervalued, supported by a P/E ratio of 12, a price-to-book value of 0.89, and an EV to EBITDA ratio of 11.42. In comparison to its peers, First Financial Corp. has a P/E ratio of 14.27, and Alerus Financial Corp. stands at 13.80, indicating that LCNB Corp. is trading at a discount relative to these competitors.
Despite its recent stock performance lagging behind the S&P 500, with a 1Y return of 5.35% compared to the S&P's 17.14%, the valuation metrics suggest significant upside potential. Overall, LCNB Corp. presents an attractive investment opportunity given its favorable valuation ratios and the comparative analysis with its peers.