Is Parke Bancorp, Inc. overvalued or undervalued?

As of 3 August 2023, the valuation grade for Parke Bancorp, Inc. has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a P/E ratio of 8, a Price to Book Value of 0.77, and an EV to EBITDA of 4.38. These ratios suggest that while the company is not overvalued, it does not present a significant discount compared to its peers.
In comparison to its industry, Parke Bancorp's P/E ratio is lower than that of Bank7 Corp. at 8.01 and Southern States Bancshares, Inc. at 9.13, both of which are also rated fair. The PEG ratio of 0.33 indicates strong growth potential relative to its price, but the overall valuation suggests that the stock is not significantly undervalued. Notably, Parke Bancorp has outperformed the S&P 500 over the past year with a return of 26.71% compared to the index's 10.26%, reinforcing its attractiveness in the current market context.