Is Southside Bancshares, Inc. overvalued or undervalued?

As of 11 September 2025, the valuation grade for Southside Bancshares, Inc. moved from fair to very attractive, indicating a shift towards a more favorable assessment. The company appears undervalued based on its current metrics, with a P/E ratio of 11, a price to book value of 1.25, and an EV to EBITDA of 12.95. In comparison, Customers Bancorp, Inc. has a P/E of 11.99, while Berkshire Hills Bancorp, Inc. shows a lower P/E of 10.31, further supporting the notion that Southside may be undervalued relative to its peers.
Despite recent underperformance, with a year-to-date return of -2.64% compared to the S&P 500's 12.22%, the long-term outlook remains positive, as evidenced by a 5-year return of 19.34%. This suggests that while the stock has struggled in the short term, its valuation metrics indicate potential for recovery and growth.