Ungrading or alternative grading has gained popularity among undergraduate educators. The purpose of this study was to compare students' perceptions of learning and two methods of grading in an upper-level exercise physiology course with third- and fourth-year undergraduate students. Two ungraded (UG1 and UG2) and two traditionally graded (TG1 and TG2) sections were compared. A weighted grading scheme was used in the TG sections. In the UG sections students received a final letter grade which was co-decided between the student and instructor. To evaluate the grading methods between the four sections, the researcher used deidentified student self-reflections and anonymous student opinion surveys (TG1: n=18, TG2: n=13, UG1: n=19, UG2: n= 12). Significant differences between sections centered on perceived learning (F[subscript 3,45]=4.18; p=0.01; n[superscript 2]= 0.22). Perceived learning was significantly lower in TG2 than UG1 (p=0.007), UG2 (p=0.005), and TG1 (p=0.008). Significant differences also existed between courses for rating of the evaluation and grading techniques (F[subscript 3,45]=10.66; p<0.001; n[superscript 2]= 0.42). Evaluation and grading techniques rating was significantly lower in TG2 than UG1 (p<0.001), UG2 (p<0.001), and TG1 (p=0.006). 87.1% (n=27/31) of the students indicated they agreed or strongly agreed that their learning was enhanced by UG. Qualitative analysis of open-ended reflection questions revealed students felt they understood content better with less grade-based anxiety. Students in the ungrading sections more regularly reflected on their learning and appreciated feedback and opportunities to revise mistakes. Overall, ungrading was effectively implemented in an undergraduate exercise physiology course.