Is Middlefield Banc Corp. overvalued or undervalued?

As of 2 April 2025, the valuation grade for Middlefield Banc Corp. has moved from fair to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued. Key ratios include a P/E ratio of 17, an EV to EBIT of 18.27, and a Price to Book Value of 1.28, all of which suggest that the stock is trading at a premium compared to its peers.
In comparison to its peers, Orrstown Financial Services, Inc. has a P/E ratio of 10.88, while Northrim BanCorp, Inc. stands at 11.25, both indicating a more attractive valuation relative to Middlefield. Despite recent stock performance showing a 34.22% return over the past year against the S&P 500's 10.26%, the current valuation metrics suggest that Middlefield Banc Corp. is not justified at its current price level.