Is Balchem Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Balchem Corp. has moved from expensive to fair. The company appears to be fairly valued based on its current metrics. Key ratios include a P/E ratio of 40, a Price to Book Value of 4.50, and an EV to EBITDA of 23.46. In comparison to peers, Balchem's P/E ratio is higher than The J. M. Smucker Co. at 23.79 and significantly higher than Conagra Brands, Inc. at 8.91, indicating that while Balchem is fairly valued, it remains more expensive than some competitors.
Despite a fair valuation, Balchem has underperformed relative to the S&P 500 over the past year, with a return of -14.21% compared to the index's 14.08%. However, it has shown a positive return of 14.22% over the past three years, although this is still significantly lower than the S&P 500's 81.19% return in the same period.