Is SiriusPoint Ltd. overvalued or undervalued?

As of 14 May 2025, SiriusPoint Ltd. has moved from a valuation grade of very expensive to expensive, indicating a slight improvement in its valuation outlook. The company is currently considered overvalued based on its financial metrics. The P/E ratio stands at 14, which is higher than the peer average of 10.70 for Kemper Corp. and 8.17 for NMI Holdings, Inc. Additionally, SiriusPoint's EV to EBITDA ratio is significantly high at 126.42, compared to Kemper's 77.30, suggesting that the market may be pricing in excessive growth expectations.
In terms of return on equity, SiriusPoint reports an ROE of 8.23%, which is not particularly strong when compared to its peers. The company's price-to-book value is 1.12, further supporting the notion that it is trading at a premium relative to its tangible assets. While SiriusPoint has outperformed the S&P 500 over various time frames, including a 53.73% return over the past year, the current valuation metrics suggest that it may be overvalued in the context of its earnings and operational performance.