Is Protalix Biotherapeutics, Inc. overvalued or undervalued?

As of 28 August 2025, the valuation grade for Protalix Biotherapeutics, Inc. has moved from very attractive to attractive, indicating a shift in market perception. The company appears to be overvalued based on its current metrics, particularly with a P/E ratio of 32, which is significantly higher than its peer Puma Biotechnology, Inc. at 4.74, and an EV to EBITDA of 15.52 compared to Puma's 3.15. Additionally, the Price to Book Value stands at 2.78, suggesting that the stock may be priced above its intrinsic value relative to its assets.
In terms of performance, Protalix has shown a strong return of 70.64% over the past year, significantly outperforming the S&P 500's 17.14% return in the same period. However, the long-term outlook appears less favorable, with a 5-year return of -49.04% compared to the S&P 500's impressive 96.61%. Overall, while the recent short-term performance is notable, the valuation metrics suggest that Protalix Biotherapeutics, Inc. is currently overvalued in the context of its peers.