Is Becton, Dickinson & Co. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Becton, Dickinson & Co. has moved from very expensive to expensive, indicating a slight improvement but still suggesting overvaluation. The company appears to be overvalued based on its P/E ratio of 33, which is significantly higher than peers like Abbott Laboratories at 18.36 and Medtronic Plc at 21.47. Additionally, the EV to EBITDA ratio stands at 16.57, while peer Thermo Fisher Scientific has a ratio of 21.65, further highlighting the premium valuation of Becton, Dickinson & Co.
The PEG ratio of 2.36 also suggests that the stock may be overvalued relative to its growth prospects, especially when compared to peers like Abbott Laboratories, which has a PEG ratio of 0.12. In terms of recent performance, Becton, Dickinson & Co. has underperformed the S&P 500 across multiple time frames, with a year-to-date return of -21.23% compared to the S&P 500's 16.30%, reinforcing the notion that the stock is currently overvalued.