Is Calavo Growers, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Calavo Growers, Inc. has moved from fair to expensive, indicating that the company is overvalued. The P/E ratio stands at 35, significantly higher than the industry average, while the EV to EBITDA ratio is 13.58, and the PEG ratio is exceptionally low at 0.04, suggesting limited growth expectations relative to its price.
In comparison to peers, Calavo Growers, Inc. has a P/E ratio of 32.23, while SNDL, Inc. shows a negative P/E of -10.87, and MGP Ingredients, Inc. has a P/E of 6.85, highlighting that Calavo is priced at a premium despite its current performance. The company's stock has underperformed relative to the S&P 500 across multiple periods, with a 1-year return of -17.44% compared to the S&P 500's 14.08%, reinforcing the notion that the stock may be overvalued.