Is China Yuchai International Ltd. overvalued or undervalued?

As of 26 May 2020, the valuation grade for China Yuchai International Ltd. moved from very attractive to attractive. The company appears to be undervalued based on its current metrics. Key ratios include a P/E ratio of 7, a Price to Book Value of 0.54, and an EV to EBIT of 1.58, which suggest that the stock is trading at a significant discount compared to its earnings and assets.
In comparison to peers, China Yuchai's P/E ratio of 8.31 is notably lower than that of PHINIA, Inc., which stands at 18.52, indicating that China Yuchai may offer better value relative to its earnings. Additionally, American Axle & Manufacturing Holdings, Inc. has a P/E of 9.62, further supporting the notion that China Yuchai is undervalued within its industry context. Despite a recent decline in stock performance compared to the S&P 500 over the past week, the company's year-to-date return of 127.07% highlights its strong recovery and growth potential.