Is Nephros, Inc. overvalued or undervalued?

As of 24 October 2025, the valuation grade for Nephros, Inc. has moved from very attractive to attractive. Based on the current metrics, the company appears to be overvalued. The P/E ratio stands at 36, significantly higher than the peer average of approximately 31.39, while the EV to EBITDA ratio is also elevated at 31.89 compared to its peers. Additionally, the PEG ratio is notably low at 0.23, suggesting that the stock may not be growing at a pace that justifies its current valuation.
In comparison to its peers, Nephros, Inc. has a P/E ratio that exceeds Nutriband, Inc. at -11.62 and NeuroOne Medical Technologies Corp. at -6.96, both of which are considered risky. The company's ROCE of 13.86% and ROE of 8.62% indicate decent returns, but they do not sufficiently offset the high valuation ratios. While specific return data is not available, the absence of a strong performance relative to the S&P 500 further reinforces the notion that Nephros, Inc. may be overvalued in its current market position.