Is The Bancorp, Inc. (Delaware) overvalued or undervalued?

As of 24 April 2025, The Bancorp, Inc. (Delaware) has moved from a fair to an expensive valuation grade. The company appears to be overvalued based on its current metrics. The P/E ratio stands at 11, while the PEG ratio is notably low at 0.49, suggesting that the stock may not be justified at its current price given its growth prospects. Additionally, the price-to-book value is 2.94, indicating a premium over its book value.
In comparison to its peers, The Bancorp's P/E ratio of 10.52 is lower than Atlantic Union Bankshares Corp. at 17.81 and First BanCorp (Puerto Rico) at 11.44, both of which are categorized as expensive and fair, respectively. This suggests that while The Bancorp is priced lower than some peers, its overall valuation still reflects overvaluation in the current market context. Notably, despite recent strong stock performance, including a 55.50% return over the past year compared to the S&P 500's 10.26%, the valuation metrics indicate that caution is warranted for potential investors.