Is SelectQuote, Inc. overvalued or undervalued?

As of 14 November 2025, the valuation grade for SelectQuote, Inc. has moved from very attractive to attractive, indicating a shift in its perceived value. The company appears to be overvalued based on its current metrics, particularly with a P/E ratio of 96, which is significantly higher than its peers, such as Donegal Group, Inc. at 9.04 and NI Holdings, Inc. at 87.24. Additionally, SelectQuote's EV to EBITDA stands at 5.74, while its PEG ratio is 0.88, suggesting that despite some growth potential, the stock is trading at a premium compared to its earnings growth.
In terms of performance, SelectQuote has experienced a challenging year, with a year-to-date return of -59.95%, compared to a positive return of 14.49% for the S&P 500. This stark contrast reinforces the notion that SelectQuote may be overvalued, especially when considering its high valuation ratios relative to its peers and the broader market performance.