Is Columbus McKinnon Corp. overvalued or undervalued?

As of 28 May 2025, the valuation grade for Columbus McKinnon Corp. has moved from expensive to risky, indicating a shift in perception regarding its financial health. The company appears to be overvalued, particularly given its significant losses reflected in a P/E ratio of NA and a negative ROE of -0.57%. Key valuation ratios include a price to book value of 0.50, an EV to EBITDA of 8.32, and an EV to sales ratio of 0.89, which suggest that the company is trading at a discount relative to its assets and sales, yet the overall financial performance remains concerning.
In comparison to peers, Columbus McKinnon Corp. has a notably lower EV to EBITDA ratio of 9.97 compared to its industry average, which may indicate potential undervaluation relative to earnings before interest, taxes, depreciation, and amortization. However, the company's negative returns over multiple periods, including a YTD decline of -57.95% versus the S&P 500's gain of 12.22%, reinforce the notion that the stock is struggling significantly in the market. This combination of factors leads to the conclusion that Columbus McKinnon Corp. is currently overvalued despite some attractive asset-based metrics.