Is Boise Cascade Co. overvalued or undervalued?

As of 13 February 2025, the valuation grade for Boise Cascade Co. has moved from fair to attractive, indicating a positive shift in its perceived value. The company is currently assessed as undervalued, with a P/E ratio of 12, which is notably lower than its peers, such as Genuine Parts Co. at 16.70 and Pool Corp. at 26.38. Additionally, Boise Cascade boasts a robust ROCE of 20.45% and a dividend yield of 6.19%, further supporting its attractive valuation.
In comparison to its peers, Boise Cascade's EV to EBITDA ratio stands at 6.49, which is significantly more favorable than Genuine Parts Co. at 11.31 and Pool Corp. at 18.63. This suggests that Boise Cascade is positioned well within its industry, offering a more compelling investment opportunity. Despite a recent decline in stock performance relative to the S&P 500 over the past year, the long-term returns of 147.80% over five years highlight its potential for growth, reinforcing the conclusion that the company is currently undervalued.