Is Montauk Renewables, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Montauk Renewables, Inc. moved from attractive to fair. The company appears to be fairly valued based on its current metrics. Key ratios include a P/E ratio of 28, an EV to EBITDA of 7.31, and a Price to Book Value of 1.13. In comparison, a peer, Montauk Renewables, Inc. itself has a significantly higher P/E ratio of 50.38, indicating potential overvaluation relative to its peers.
The company has underperformed against the S&P 500, with a year-to-date return of -47.24% compared to the S&P 500's 13.30%. This stark contrast in performance further supports the conclusion that Montauk Renewables, Inc. is currently fairly valued in light of its recent stock performance.