Is Calavo Growers, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Calavo Growers, Inc. moved from fair to expensive, indicating that the company is overvalued. The P/E ratio stands at 35, significantly higher than the peer average of 32.23, while the EV to EBITDA ratio is 13.58, also above the peer benchmark of 12.77. Additionally, the PEG ratio is notably low at 0.04, suggesting that growth expectations may not justify the current valuation.
In comparison to its peers, SNDL, Inc. and MGP Ingredients, Inc. exhibit lower valuation metrics, with P/E ratios of -10.87 and 6.85, respectively, highlighting the relative expense of Calavo Growers. Furthermore, the company has underperformed against the S&P 500 across multiple time frames, with a year-to-date return of -6.63% compared to the index's 13.30%, reinforcing the notion that the stock may not be a prudent investment at its current price.