Is Princeton Bancorp, Inc. overvalued or undervalued?

As of 19 September 2025, the valuation grade for Princeton Bancorp, Inc. moved from fair to expensive, indicating a shift towards overvaluation. The company is currently considered overvalued based on its P/E ratio of 12, which is significantly lower than the peer average of 15.74, and its Price to Book Value of 0.82, suggesting that the market is not valuing its assets appropriately compared to peers like Bank7 Corp. with a P/E of 10.50 and Plumas Bancorp at 10.52. Additionally, the EV to EBITDA ratio stands at 6.98, which is also below the industry average.
In terms of recent performance, Princeton Bancorp has underperformed compared to the S&P 500, with a year-to-date return of -7.14% versus the S&P 500's 13.31%. This trend of underperformance reinforces the notion that the stock may be overvalued in the current market environment.