Is Ducommun, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Ducommun, Inc. changed from very attractive to expensive, indicating a shift in its perceived value. The company appears overvalued based on its current metrics, with a P/E ratio of 27, a Price to Book Value of 1.58, and an EV to EBITDA of 13.82. In comparison, peers such as OSI Systems, Inc. have a lower P/E of 24.50 and a more favorable EV to EBITDA of 16.16, while Kratos Defense & Security Solutions, Inc. shows a significantly high P/E of 594.28, reflecting a different valuation perspective.
Despite Ducommun's strong YTD return of 44.42%, which outperformed the S&P 500's 13.30%, its longer-term performance of 160.08% over the past five years lags behind the S&P 500's 227.77%. This suggests that while the stock has performed well recently, its current valuation may not be justified given the comparative metrics and the recent downgrade in its valuation grade.