Is U.S. Physical Therapy, Inc. overvalued or undervalued?

As of 8 September 2025, the valuation grade for U.S. Physical Therapy, Inc. has moved from expensive to fair. Based on the current metrics, the company is fairly valued. The P/E ratio stands at 28, the Price to Book Value is 2.70, and the EV to EBITDA ratio is 17.32.
In comparison to peers, The Ensign Group, Inc. has a higher P/E ratio of 32.46, while Option Care Health, Inc. shows a more favorable EV to EBITDA ratio of 14.37. Despite these comparisons, U.S. Physical Therapy's valuation appears justified given its current ratios. Notably, the company's stock has underperformed against the S&P 500 across multiple periods, with a year-to-date return of -9.65% compared to the S&P 500's 12.22%, indicating a challenging market environment.