Is Runway Growth Finance Corp. overvalued or undervalued?

As of 3 November 2022, the valuation grade for Runway Growth Finance Corp. moved from expensive to very attractive, indicating a significant shift in its perceived value. The company appears undervalued, supported by a P/E ratio of 6, a Price to Book Value of 0.75, and an EV to EBIT of 3.36. In comparison, a peer in the industry has a P/E of 5.4671, highlighting that Runway is competitively priced within its sector. With a PEG ratio of 0.11 and a robust dividend yield of 7.00%, the company offers compelling value for investors seeking income and growth potential. Notably, while Runway has underperformed against the S&P 500 over various periods, including a YTD return of -4.47% compared to the S&P's 12.22%, its attractive valuation metrics suggest it may present a buying opportunity for long-term investors.