Is Pro-Dex, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Pro-Dex, Inc. has moved from attractive to very attractive, indicating a positive shift in its perceived value. The company appears undervalued based on several key metrics, including a P/E ratio of 16, an EV to EBITDA ratio of 11.51, and a PEG ratio of 0.18, which suggests strong growth potential relative to its price. In comparison, its peer Prenetics Global Ltd. has a P/E of -3.15, while Wrap Technologies, Inc. shows a P/E of -6.12, highlighting Pro-Dex's relative strength in valuation.
Despite the positive valuation metrics, Pro-Dex has faced significant stock declines recently, with a year-to-date return of -43.91% compared to a 13.30% return for the S&P 500. This stark contrast underscores the potential mispricing of the stock, reinforcing the notion that it may be undervalued in the current market environment.