Is TriplePoint Venture Growth BDC Corp. overvalued or undervalued?

As of 6 November 2024, the valuation grade for TriplePoint Venture Growth BDC Corp. has moved from risky to very attractive, indicating a significant improvement in its investment appeal. The company appears undervalued, supported by a P/E ratio of 8, a Price to Book Value of 0.83, and an impressive PEG ratio of 0.04, which suggests strong growth potential relative to its price.
In comparison to its peers, Fidus Investment Corp. has a P/E of 9.59 and an EV/EBITDA of 6.06, while Gladstone Investment Corp. shows a P/E of 6.80 and an EV/EBITDA of 4.74, reinforcing the notion that TriplePoint is trading at a discount relative to similar companies in the capital markets sector. Despite its attractive valuation, the stock has underperformed against the S&P 500 over various time frames, with a YTD return of -15.85% compared to the index's 12.22%, highlighting the potential for recovery as market conditions improve.