Is Provident Financial Holdings, Inc. overvalued or undervalued?

As of 22 August 2025, the valuation grade for Provident Financial Holdings, Inc. moved from expensive to fair. The company appears fairly valued based on its current metrics. Key ratios include a P/E ratio of 42, a Price to Book Value of 2.14, and an EV to EBITDA of 46.21. In comparison, peers such as Ponce Financial Group, Inc. have a P/E of 21.78, and Provident Bancorp, Inc. (Massachusetts) has a P/E of 21.59, indicating that Provident Financial is trading at a premium relative to its peers.
In terms of recent performance, Provident Financial has underperformed against the S&P 500 year-to-date, with a return of -1.26% compared to the S&P 500's 12.22%. Over the longer term, however, the stock has shown a 31.46% return over the past five years, which is significantly lower than the S&P 500's 96.61% return in the same period.