Is Western Acquisition Ventures Corp. overvalued or undervalued?

As of 6 June 2025, the valuation grade for Western Acquisition Ventures Corp. has moved from attractive to risky, indicating a significant shift in its perceived value. The company is currently assessed as overvalued, with a P/E ratio of 4, which is notably higher than its peers such as Oxus Acquisition Corp. with a P/E of -5.25 and Acri Capital Acquisition Corp. at -3.90. Additionally, the EV to EBITDA ratio stands at 6.16, while the PEG ratio is exceptionally low at 0.02, suggesting that the stock may not be priced appropriately relative to its growth potential.
In comparison to its peers, Western Acquisition Ventures Corp. exhibits a Price to Book Value of 0.91 and an EV to Sales ratio of 0.85, both of which are indicative of potential overvaluation when considering the broader industry context. The company's ROCE of 15.53% and ROE of 22.83% are strong, yet they do not sufficiently justify the current valuation given the overall market sentiment reflected in the grade change. This assessment is further underscored by the lack of recent stock return data against the S&P 500, which could have provided additional context for its performance relative to the market.