Is Stock Yards Bancorp, Inc. overvalued or undervalued?

As of 14 November 2025, the valuation grade for Stock Yards Bancorp, Inc. has moved from fair to attractive, indicating a more favorable assessment of its value. The company appears to be undervalued, particularly when considering its P/E ratio of 18, which is higher than the average P/E of its peers such as Trustmark Corp. at 11.24 and Banner Corp. at 12.84. Additionally, the Price to Book Value stands at 2.29, and the EV to EBITDA ratio is 14.87, suggesting that the market may not fully recognize the company's potential.
In comparison to its peers, Stock Yards Bancorp's PEG ratio of 1.13 is relatively competitive, especially against Enterprise Financial Services Corp. with a PEG of 0.75. Despite the attractive valuation, the company's recent performance has lagged behind the S&P 500, with a year-to-date return of -7.08% compared to the index's 14.49%. This underperformance over multiple periods, including a 10-year return of 61.82% versus 232.87% for the S&P 500, reinforces the notion that the stock may be undervalued relative to its growth prospects.