Is Westwood Holdings Group, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Westwood Holdings Group, Inc. has moved from expensive to fair. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 180, a Price to Book Value of 1.51, and an EV to EBITDA of 14.88. In comparison to peers, BlackRock Capital Investment Corp. has a more attractive P/E of 10.18, while Medallion Financial Corp. shows a significantly lower P/E of 6.39, indicating that Westwood Holdings is priced higher than its peers.
Despite a fair valuation, Westwood Holdings has underperformed against the S&P 500 in the short term, with a 1-week return of -1.50% compared to the S&P 500's 1.05%. However, it has outperformed the index over the longer term, with a 1-year return of 35.90% versus the S&P 500's 17.14%. Overall, while the company is currently fairly valued, its high P/E ratio suggests caution compared to its peers.