Is Merit Medical Systems, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Merit Medical Systems, Inc. has moved from fair to expensive, indicating that the stock is overvalued. The company exhibits a P/E ratio of 42, a Price to Book Value of 3.94, and an EV to EBITDA ratio of 20.38, all of which suggest that the stock is trading at a premium compared to its earnings and assets.
In comparison to its peers, Merit Medical's P/E ratio is significantly higher than that of Lantheus Holdings, Inc., which has a P/E of 10.13, and Haemonetics Corp., which stands at 16.35. This indicates that Merit Medical is priced much higher relative to its earnings than these companies. Additionally, while Merit Medical has shown a return of 71.08% over the past five years, it has underperformed compared to the S&P 500's return of 91.29% during the same period, reinforcing the notion that the stock may be overvalued.