Is BlueLinx Holdings, Inc. overvalued or undervalued?

As of 28 November 2025, the valuation grade for BlueLinx Holdings, Inc. has moved from very expensive to fair. The company appears to be undervalued based on its current metrics, particularly with a P/E ratio of 15, a price to book value of 0.85, and an EV to EBITDA ratio of 3.90. In comparison, peers such as CrossAmerica Partners LP have a P/E of 8.77, while AerSale Corp. shows a significantly higher P/E of 63.13, indicating that BlueLinx is trading at a more attractive valuation relative to its industry.
Despite the recent downturn in stock performance, with a YTD return of -38.93% compared to the S&P 500's 16.45%, the long-term outlook remains positive, as evidenced by a 5-year return of 136.33%, outperforming the S&P 500's 88.25%. This suggests that while the stock has faced challenges recently, it may present a buying opportunity for investors looking for value in the Trading & Distributors sector.