Is CVR Partners LP overvalued or undervalued?

As of 23 February 2022, the valuation grade for CVR Partners LP moved from risky to very attractive, indicating a significant improvement in its investment appeal. The company appears undervalued based on its key ratios, including a P/E ratio of 12, an EV to EBITDA of 6.89, and a Price to Book Value of 2.88. In comparison to peers, CF Industries Holdings, Inc. has a lower P/E of 8.64 and an EV to EBITDA of 4.97, while The Mosaic Co. shows a P/E of 10.28 and an EV to EBITDA of 6.19, suggesting that CVR Partners LP is positioned favorably within its industry.
Additionally, the company's recent stock performance has outpaced the S&P 500, with a year-to-date return of 19.97% compared to the S&P 500's 12.22%, and a one-year return of 30.26% versus 17.14% for the index, reinforcing its attractive valuation. Overall, these factors suggest that CVR Partners LP is undervalued relative to its peers and market performance.