Is Willdan Group, Inc. overvalued or undervalued?

As of 24 October 2025, the valuation grade for Willdan Group, Inc. has moved from fair to expensive, indicating a shift towards overvaluation. The company appears overvalued based on its current metrics, with a P/E ratio of 34, a Price to Book Value of 3.37, and an EV to EBITDA of 18.14. In comparison to peers, Willdan's P/E ratio of 40.42 is significantly higher than Universal Technical Institute, Inc.'s 23.75, suggesting that Willdan may be priced at a premium without corresponding growth prospects.
Additionally, while Willdan has shown impressive returns, such as a 168.76% year-to-date return compared to the S&P 500's 15.47%, this strong performance may not justify its current valuation levels. Overall, the combination of high valuation ratios and the recent grade change indicates that Willdan Group, Inc. is overvalued in the current market environment.