Is N-able, Inc. overvalued or undervalued?

As of 7 August 2025, the valuation grade for N-able, Inc. has moved from very expensive to fair, indicating a shift in perception regarding its market value. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 77, a Price to Book Value of 1.99, and an EV to EBITDA ratio of 18.36. In comparison to peers, Doximity, Inc. has a P/E of 54.88, while ACI Worldwide, Inc. shows a more favorable EV to EBITDA of 15.88, suggesting that N-able's valuation is in line with the industry but still on the higher side.
Despite the fair valuation, N-able's recent stock performance has been underwhelming, with a year-to-date return of -9.74%, significantly lagging behind the S&P 500's 12.22% return. Over the past year, the company's stock has dropped by 34.24%, while the S&P 500 has gained 17.14%. This disparity reinforces the notion that while N-able may be fairly valued, its stock performance does not reflect the same optimism seen in the broader market.