Is Upbound Group, Inc. overvalued or undervalued?

As of 25 April 2025, the valuation grade for Upbound Group, Inc. has moved from fair to very attractive. The company appears to be undervalued based on its current metrics. Key ratios include a P/E ratio of 18, an EV to EBITDA of 9.48, and a PEG ratio of 0.01, indicating strong growth potential relative to its price.
In comparison to its peers, Upbound Group's P/E ratio of 17.63 is more favorable than Air Lease Corp.'s at 14.59 and significantly lower than Herc Holdings, Inc.'s at 21.01, which is categorized as very expensive. Additionally, Upbound's EV to EBITDA ratio is competitive when compared to PennyMac Financial Services, Inc. at 3.11. Despite recent stock performance showing a decline of 18% year-to-date compared to a 2.44% increase in the S&P 500, the underlying valuation metrics suggest that Upbound Group is positioned for potential growth.