Is Postal Realty Trust, Inc. overvalued or undervalued?

As of 11 May 2021, the valuation grade for Postal Realty Trust, Inc. moved from risky to very attractive, indicating a significant improvement in its investment appeal. The company is currently undervalued, with a P/E ratio of 64, which is notably higher than its peers such as Orchid Island Capital, Inc. at 21.15 and One Liberty Properties, Inc. at 17.89. Additionally, the PEG ratio stands at a compelling 0.32, suggesting that the stock is priced favorably relative to its growth potential.
In terms of key financial metrics, Postal Realty Trust boasts an EV to EBITDA of 9.16 and a dividend yield of 353.47%, which further underscores its attractive valuation compared to the industry. The company has also outperformed the S&P 500 in various time frames, including a 1-month return of 16.82% versus the S&P 500's 3.83%, reinforcing the notion that it is currently undervalued in the market.