Is Verisk Analytics, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Verisk Analytics, Inc. moved from very expensive to expensive, indicating a slight improvement in its perceived value. The company appears to be overvalued based on its high valuation ratios, including a P/E ratio of 174, a Price to Book Value of 1357.58, and an EV to EBITDA of 106.63. In comparison, peers such as Tyler Technologies, Inc. have a P/E of 93.11 and an EV to EBITDA of 58.15, while MSCI, Inc. shows a P/E of 62.31 and an EV to EBITDA of 42.54, highlighting the premium at which Verisk trades relative to its industry.
Recent stock performance further underscores this valuation concern, as Verisk's returns have lagged behind the S&P 500 across multiple periods, with a year-to-date decline of 15.64% compared to the S&P 500's gain of 13.30%. This trend suggests that investors may be reassessing the company's growth prospects in light of its high valuation metrics.