Is TrustCo Bank Corp. NY overvalued or undervalued?

As of 30 June 2025, TrustCo Bank Corp. NY's valuation grade changed from expensive to fair, indicating a shift in its perceived market value. The company appears fairly valued based on its current metrics, with a P/E ratio of 12, a Price to Book Value of 0.91, and a ROE of 7.41%. In comparison, a peer such as TrustCo Bank Corp. NY has a higher P/E ratio of 14.54, suggesting that TrustCo is trading at a discount relative to its peers.
The recent stock performance shows that TrustCo Bank Corp. NY has outperformed the S&P 500 on a year-to-date basis, returning 20.20% compared to the S&P 500's 12.22%. However, over longer periods, such as 3 years and 5 years, the company has underperformed the benchmark, with returns of 18.43% and 39.51% respectively, versus the S&P 500's significantly higher returns. This mixed performance further supports the conclusion that the stock is fairly valued at its current price.