Is PermRock Royalty Trust overvalued or undervalued?

As of 15 May 2019, the valuation grade for PermRock Royalty Trust moved from does not qualify to very attractive, indicating a significant improvement in its valuation outlook. The company appears undervalued based on several key metrics, including a P/E ratio of 9, a Price to Book Value of 0.68, and an EV to EBITDA of 8.75. In comparison to peers, North European Oil Royalty Trust has a P/E of 8.64, while Cross Timbers Royalty Trust stands at 9.02, suggesting that PermRock is competitively priced within its industry.
Despite recent stock performance showing a decline of 4.61% over the past year compared to a 17.14% gain in the S&P 500, the long-term outlook remains positive with a 5-year return of 92.21% against the S&P's 96.61%. This indicates that while short-term performance may be lagging, the overall valuation metrics suggest that PermRock Royalty Trust is positioned favorably for future growth.