Is RCM Technologies, Inc. overvalued or undervalued?

As of 7 November 2024, RCM Technologies, Inc. has seen its valuation grade change from very attractive to attractive. The company is currently fairly valued. Key ratios include a P/E ratio of 24, an EV to EBITDA of 13.80, and a ROE of 37.45%. In comparison to peers, Barrett Business Services, Inc. has a P/E of 20.28 and an EV to EBITDA of 11.86, while Heidrick & Struggles International, Inc. is considered expensive with a P/E of 11.21.
Despite the recent downgrade in valuation grade, RCM Technologies has shown strong performance with a 1-year return of 18.25%, outperforming the S&P 500's return of 10.26% in the same period. Overall, the current valuation metrics suggest that the company is positioned well within its industry, though it is not without competition from more attractively valued peers.