Is The Bank of New York Mellon Corp. overvalued or undervalued?

As of 19 September 2025, the valuation grade for The Bank of New York Mellon Corp. has moved from fair to expensive. The company appears overvalued based on its current metrics. The P/E ratio stands at 24, which is higher than the peer average of 26.50, while the Price to Book Value is 2.68, indicating a premium over its book value. Additionally, the PEG ratio of 0.51 suggests that the stock may be overvalued relative to its growth potential.
In comparison with peers, The Charles Schwab Corp. has a P/E of 25.67 and is rated as attractive, while Morgan Stanley is rated very expensive with a P/E of 18.52. The Bank of New York Mellon Corp. has outperformed the S&P 500 over multiple periods, including a 51.58% return over the past year compared to the S&P 500's 16.64%, reinforcing the notion that while the stock has performed well, it may not be justified at its current valuation.