Is Strawberry Fields REIT, Inc. overvalued or undervalued?

As of 9 May 2025, the valuation grade for Strawberry Fields REIT, Inc. has moved from fair to expensive, indicating that the company is overvalued. The current P/E ratio stands at 26, which is higher than the peer average of 27.37 for similar companies, while the EV to EBITDA ratio is 0.55, suggesting that the company is not generating sufficient earnings relative to its enterprise value. Additionally, the PEG ratio of 3.95 further supports the notion of overvaluation, as it indicates a high price relative to expected growth.
In comparison to its peers, Strawberry Fields REIT, Inc. is positioned unfavorably against ACRES Commercial Realty Corp., which has a P/E ratio of 5.55 and an EV to EBITDA of 0.5492, highlighting a more attractive valuation. Furthermore, Global Self Storage, Inc. shows a P/E of 26.93 and an EV to EBITDA of 12.1352, reinforcing the notion that Strawberry Fields REIT is not competitively priced. Despite recent stock performance showing a 3.87% return over the past week compared to a slight decline in the S&P 500, the overall valuation metrics suggest that the stock is overvalued in its current state.