Is SEI Investments Co. overvalued or undervalued?

As of 17 October 2025, the valuation grade for SEI Investments Co. moved from fair to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued based on its current financial metrics. Key ratios include a P/E ratio of 18, a PEG ratio of 0.64, and an EV to EBITDA of 15.05, which suggest that the stock is trading at a reasonable valuation relative to its growth prospects.
In comparison to its peers, SEI Investments Co. has a lower P/E ratio than Franklin Resources, Inc., which stands at 14.94, while Morningstar, Inc. is considered expensive with a P/E of 33.14. The attractive valuation of SEI is further supported by its strong ROCE of 38.53% and ROE of 26.63%. Despite recent underperformance relative to the S&P 500, with a YTD return of -2.05% compared to 13.30%, the long-term outlook remains positive, as evidenced by a 3-year return of 63.91% versus 81.19% for the index.