Is Avantor, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Avantor, Inc. has moved from expensive to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued, particularly when considering its P/E ratio of 11, which is significantly lower than the industry average, and a PEG ratio of 0.16, suggesting strong growth potential relative to its price. Additionally, the EV to EBITDA ratio stands at 11.44, which further supports the attractive valuation.
In comparison to its peers, Avantor's P/E ratio of 11.82 is notably lower than Westlake Corp.'s 82.20 and Albemarle Corp.'s -101.94, while NewMarket Corp. has a P/E of 16.30, indicating that Avantor is trading at a discount relative to some competitors. Despite recent underperformance, with a year-to-date return of -29.85% compared to the S&P 500's 13.30%, the current valuation metrics suggest that Avantor may present a compelling investment opportunity moving forward.