Is MAXIMUS, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for MAXIMUS, Inc. has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a P/E ratio of 13, an EV to EBITDA of 8.13, and a PEG ratio of 0.35, suggesting that it may not be as undervalued as previously thought. In comparison to peers, Genpact Ltd. has a P/E of 14.38 and an EV to EBITDA of 10.34, while ADT, Inc. stands out with a lower P/E of 10.02 and an attractive valuation.
In terms of recent performance, MAXIMUS has underperformed against the S&P 500 over the past year, returning -5.29% compared to the index's 14.08%, and has also lagged significantly over the longer term, with a 3-year return of 47.47% versus the S&P 500's 81.19%. This underperformance may reinforce the view that MAXIMUS is fairly valued rather than a compelling investment opportunity at this time.