Is PlayAGS, Inc. overvalued or undervalued?

As of 8 May 2025, the valuation grade for PlayAGS, Inc. has moved from very attractive to attractive. The company is currently fairly valued. Key ratios include a P/E ratio of 11, an EV to EBITDA of 6.74, and a ROE of 40.16%. In comparison, Monarch Casino & Resort, Inc. has a P/E of 16.45 and an EV to EBITDA of 8.63, indicating that PlayAGS is trading at a discount relative to its peer.
Despite the recent shift in valuation grade, PlayAGS has shown strong performance, with a year-to-date return of 7.46%, outperforming the S&P 500's 2.44% during the same period. The PEG ratio of 0.02 suggests significant growth potential, further supporting the conclusion that PlayAGS is fairly valued in the current market context.