Is Ultralife Corp. overvalued or undervalued?

As of 17 October 2025, Ultralife Corp. has moved from an attractive to a very expensive valuation grade. The company is overvalued based on its current metrics, with a P/E ratio of 30, an EV to EBITDA ratio of 15.03, and a Price to Book Value of 1.19. In comparison, its peers such as Allient, Inc. have a significantly higher P/E ratio of 128.16, while Solid Power, Inc. shows a negative P/E of -7.77, indicating a wide range of valuations within the sector.
The stock has underperformed against the S&P 500, with a year-to-date return of -13.56% compared to the index's 13.30%, and a one-year return of -30.08% versus the S&P 500's 14.08%. This underperformance reinforces the notion that Ultralife Corp. is currently overvalued in the market.