Is MYR Group, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for MYR Group, Inc. moved from expensive to very expensive, indicating a significant increase in perceived overvaluation. The company is currently considered overvalued, with a P/E ratio of 74, a Price to Book Value of 4.68, and an EV to EBITDA of 21.59. In comparison, peers such as MasTec, Inc. have a P/E of 57.22, while TopBuild Corp. is more favorably valued with a P/E of 24.98.
Despite the high valuation, MYR Group, Inc. has shown impressive stock performance, with a 1-year return of 67.37% compared to the S&P 500's 14.08%, and a remarkable 5-year return of 367.04% against the S&P 500's 91.29%. This strong performance may suggest that the market is willing to pay a premium for the stock, but the current valuation metrics indicate that it is not justified based on traditional valuation ratios.