Is RGC Resources, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for RGC Resources, Inc. has moved from very expensive to expensive, indicating a slight improvement in its valuation perception. The company appears to be overvalued based on its current metrics, with a P/E ratio of 16, a Price to Book Value of 1.81, and an EV to EBITDA of 11.61. In comparison, Excelerate Energy, Inc. has a lower P/E of 14.15 and a more favorable EV to EBITDA of 9.51, while Clean Energy Fuels Corp. is categorized as risky with a significantly high EV to EBITDA of 45.31.
The stock's performance against the S&P 500 has been underwhelming, with a 1-year return of 0.61% compared to the S&P 500's 14.08%, and a 5-year return of -10.96% against the S&P 500's 91.29%. This underperformance reinforces the notion that RGC Resources, Inc. is currently overvalued in the market.