Is TG Therapeutics, Inc. overvalued or undervalued?

As of 3 March 2025, the valuation grade for TG Therapeutics, Inc. has moved from risky to expensive, indicating a shift in perception regarding its market value. The company is currently considered overvalued, with a P/E ratio of 158, significantly higher than the peer average of approximately 138.4 for similar companies. Additionally, its Price to Book Value stands at 26.81, and the EV to EBITDA ratio is 105.38, both of which suggest that the stock is priced at a premium compared to its earnings and book value.
In comparison to its peers, Taro Pharmaceutical Industries Ltd. also carries an expensive valuation with a P/E of 29.97, while Agios Pharmaceuticals, Inc. is rated very attractive with a P/E of 3.84. Notably, TG Therapeutics has outperformed the S&P 500 in various time frames, including a remarkable 107.14% return over the past year, which may contribute to the inflated valuation perception. Overall, the combination of high valuation ratios and peer comparisons supports the conclusion that TG Therapeutics, Inc. is overvalued in the current market.