Is Avient Corp. overvalued or undervalued?

As of 10 September 2025, the valuation grade for Avient Corp. has moved from very expensive to expensive, indicating a shift towards a less favorable assessment. The company appears to be overvalued, particularly when considering its high P/E ratio of 126, which significantly exceeds the industry average, as well as an EV to EBITDA ratio of 14.53. Additionally, the Price to Book Value stands at 1.97, further supporting the notion of overvaluation relative to its peers.
In comparison to its industry, Avient Corp. has a P/E ratio that is notably higher than Eastman Chemical Co. at 15.68 and Element Solutions, Inc. at 24.64, both of which are performing better in terms of valuation metrics. Furthermore, Avient's recent stock performance has been disappointing, with a year-to-date return of -11.09% compared to the S&P 500's 12.22%, and a one-year return of -23.72% against the S&P 500's 17.14%. This underperformance reinforces the view that Avient Corp. is currently overvalued.