Is Ziff Davis, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Ziff Davis, Inc. has moved from expensive to very expensive, indicating a significant shift in its perceived value. Based on the current metrics, the company appears to be overvalued, with a P/E ratio of 8, which is lower than the peer average of 9.34, and an EV to EBITDA ratio of 4.18, also below the peer average of 4.43. Additionally, the PEG ratio stands at 0.19, suggesting that the stock may not be justified at its current price given its growth prospects.
In comparison to its peers, Match Group, Inc. has a P/E ratio of 17.35, while XP, Inc. boasts a more attractive valuation with a P/E of 11.30. These figures highlight that Ziff Davis, Inc. is trading at a lower valuation compared to its peers, yet it is still classified as very expensive. Notably, Ziff Davis has underperformed significantly against the S&P 500, with a year-to-date return of -27.86% compared to the S&P 500's 12.22%, reinforcing the notion that the stock may be overvalued in the current market environment.