Is TriNet Group, Inc. overvalued or undervalued?

As of 25 April 2025, the valuation grade for TriNet Group, Inc. has moved from fair to very expensive. The company is currently overvalued, as indicated by its P/E ratio of 24, which is higher than the industry average of approximately 22.17. Additionally, TriNet's Price to Book Value stands at a staggering 63.96, and its EV to EBITDA ratio is 10.23, further highlighting its elevated valuation relative to peers.
When comparing TriNet to its peers, Medpace Holdings, Inc. is rated as attractive with a P/E of 20.61 and an EV to EBITDA of 16.82, while Charles River Laboratories International, Inc. has a P/E of 22.38 and an EV to EBITDA of 10.32, both suggesting a more favorable valuation. Notably, TriNet's recent stock performance has lagged significantly behind the S&P 500, with a year-to-date return of -17.92% compared to the index's 2.44%, reinforcing the notion that the stock is currently overvalued.