Is Portland General Electric Co. overvalued or undervalued?

As of 25 April 2025, the valuation grade for Portland General Electric Co. has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued based on its P/E ratio of 15, which is lower than the industry average P/E of approximately 20.31, and an EV to EBITDA ratio of 10.55, which also suggests a premium compared to peers. Notably, its ROE stands at 7.91%, which is relatively low when compared to IDACORP, Inc. with a P/E of 20.31 and an EV to EBITDA of 13.48, highlighting a disparity in performance.
In comparison to its peers, Portland General Electric Co. is positioned unfavorably, especially against Ormat Technologies, Inc., which, despite being classified as very expensive, has a significantly higher P/E ratio of 37.21. The company's recent stock performance has lagged behind the S&P 500, with a year-to-date return of -5.87% compared to the index's 2.44%, reinforcing the notion that it is currently overvalued.