Is Ducommun, Inc. overvalued or undervalued?

As of 24 October 2025, the valuation grade for Ducommun, Inc. has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company appears overvalued based on its current metrics, including a P/E ratio of 27, an EV to EBITDA of 13.82, and a PEG ratio of 0.48. In comparison to peers, Ducommun's P/E ratio of 30.70 is notably higher than that of OSI Systems, Inc. at 24.50, which is classified as very attractive.
Despite the company's strong recent performance, with a year-to-date return of 58.18% compared to the S&P 500's 15.47%, the elevated valuation ratios suggest that Ducommun may not sustain this growth relative to its peers. Overall, the combination of high valuation ratios and the recent grade change reinforces the conclusion that Ducommun, Inc. is overvalued.