Is MDU Resources Group, Inc. overvalued or undervalued?

As of 8 September 2025, the valuation grade for MDU Resources Group, Inc. moved from expensive to very expensive. This indicates that the company is overvalued based on its current financial metrics. The P/E ratio stands at 13, while the EV to EBITDA ratio is 9.26, and the Price to Book Value is 1.25. In comparison, peers such as Southwest Gas Holdings, Inc. have a significantly higher P/E ratio of 28.47, while New Jersey Resources Corp. is more attractively valued with a P/E of 11.53.
In terms of recent performance, MDU Resources has underperformed relative to the S&P 500, with a year-to-date return of -10.71% compared to the S&P's 12.22%. This underperformance further supports the conclusion that the stock is overvalued in the current market environment.