Is Stoke Therapeutics, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Stoke Therapeutics, Inc. has moved from fair to expensive, indicating that the company is overvalued. Key valuation ratios reveal a P/E ratio of 12, an EV to EBITDA of 5.94, and a PEG ratio of 0.09, which suggest that despite some attractive metrics, the overall valuation does not justify the current price levels.
In comparison to peers, Stoke Therapeutics has a higher P/E ratio than CorMedix, Inc., which stands at 18.60 and is considered very attractive, while Taysha Gene Therapies, Inc. is in a risky position with a negative P/E. The recent stock performance shows that Stoke Therapeutics has significantly outperformed the S&P 500, with a year-to-date return of 203.99% compared to the index's 13.30%, reinforcing the notion that the stock may be overvalued given its current price relative to its earnings potential.