Is Columbus McKinnon Corp. overvalued or undervalued?

As of 28 May 2025, Columbus McKinnon Corp. has moved from a fair to a risky valuation grade. The company appears to be overvalued given its financial metrics, particularly with a price-to-book value of 0.50 and an EV to EBITDA ratio of 8.32, which is significantly higher than its peer, Greenbrier Cos., Inc., which has an EV to EBITDA of 5.87. Additionally, the company's return on equity (ROE) stands at -0.57%, indicating poor profitability, while its dividend yield is exceptionally high at 183.00%, which may not be sustainable.
In comparison to its peers, Columbus McKinnon Corp. shows a P/E ratio of -84.83, while Greenbrier Cos., Inc. has a more favorable P/E of 6.73, suggesting that the market has a more positive outlook on Greenbrier. Furthermore, Astec Industries, Inc. is considered expensive with a P/E of 12.07, reinforcing that Columbus McKinnon is not only underperforming but also overvalued relative to its industry. The company's stock has significantly underperformed the S&P 500, with a year-to-date return of -61.20% compared to the index's 2.44%, further supporting the conclusion that Columbus McKinnon Corp. is overvalued.