Is Transcontinental Realty Investors, Inc. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Transcontinental Realty Investors, Inc. moved from expensive to attractive, indicating a shift towards a more favorable assessment. The company is currently considered undervalued, especially given its low Price to Book Value of 0.38 and a PEG Ratio of 1.65, which suggests growth potential relative to its price. Additionally, the EV to EBITDA ratio stands at 31.15, reflecting a high valuation compared to earnings before interest, taxes, depreciation, and amortization.
In comparison to its peers, Transcontinental Realty Investors has a P/E Ratio of 41, which is higher than One Liberty Properties, Inc. at 17.92 and CTO Realty Growth, Inc. at -61.47, indicating that while it may be priced higher, it is still seen as attractive in the current market context. Despite recent performance showing a 50.35% year-to-date return compared to the S&P 500's 16.30%, the company has lagged behind the index over longer periods, particularly in the 3-year and 5-year returns, where it achieved 9.08% and 103.73% respectively, compared to the S&P 500's 76.66% and 109.18%.