Is Northwest Natural Holding Co. overvalued or undervalued?

As of 6 May 2025, the valuation grade for Northwest Natural Holding Co. has moved from very expensive to expensive. The company is currently considered overvalued based on its financial ratios and peer comparison. Notable ratios include a P/E ratio of 14, an EV to EBITDA of 6.93, and a PEG ratio of 0.07, which suggests that the stock may not be priced appropriately given its earnings growth potential.
In comparison to its peers, Northwest Natural Holding Co. has a higher P/E ratio than the industry average of approximately 13.57, indicating that it is trading at a premium. Additionally, the company's EV to EBITDA ratio is in line with the peer average of 6.94, but its low PEG ratio suggests that growth expectations are not being met. Over the past year, the stock has outperformed the S&P 500, returning 16.25% compared to the index's 10.26%, but this performance does not necessarily justify its current valuation.