Is Darling Ingredients, Inc. overvalued or undervalued?

As of 21 November 2025, the valuation grade for Darling Ingredients, Inc. has moved from attractive to very expensive, indicating a shift towards overvaluation. The company appears overvalued based on its P/E ratio of 29, which is significantly higher than peers like The J. M. Smucker Co. at 23.79 and Conagra Brands, Inc. at 8.91. Additionally, Darling's EV to EBITDA ratio stands at 11.01, while its EV to Sales ratio is 1.59, both suggesting a premium compared to industry norms.
In terms of performance, Darling Ingredients has struggled recently, with a one-year return of -18.90%, contrasting sharply with the S&P 500's gain of 11.00% over the same period. This underperformance, combined with its high valuation ratios, reinforces the conclusion that the stock is currently overvalued.