Is Brunswick Corp. overvalued or undervalued?

As of 22 August 2025, Brunswick Corp. has moved from fair to very expensive in its valuation grade. The company is overvalued, as indicated by its P/E ratio of 24, which is significantly higher than its peers, such as Autoliv, Inc. with a P/E of 18.06 and Donaldson Co., Inc. at 28.15. Additionally, Brunswick's EV to EBITDA stands at 11.36, while Autoliv's is notably lower at 9.21, further illustrating the disparity in valuation.
The company's return on equity (ROE) is 11.24%, which is respectable but does not justify its high valuation when compared to peers. Brunswick's stock has underperformed against the S&P 500 in multiple periods, notably with a 1-year return of -20.44% compared to the S&P 500's 17.14%, reinforcing the notion that the stock is currently overvalued.