Is Dycom Industries, Inc. overvalued or undervalued?

As of 26 September 2025, the valuation grade for Dycom Industries, Inc. has moved from fair to expensive, indicating a shift towards overvaluation. The company is currently considered overvalued based on several key ratios, including a P/E ratio of 30, a Price to Book Value of 5.55, and an EV to EBITDA of 14.52. In comparison to peers, Dycom's P/E ratio is notably lower than APi Group Corp.'s 87.46, but higher than TopBuild Corp.'s 24.98, suggesting that while it may be less expensive than some competitors, it still appears costly relative to others in the industry.
The stock has demonstrated strong performance, with a year-to-date return of 65.14%, significantly outpacing the S&P 500's return of 12.96% over the same period. This impressive performance, however, does not negate the current overvaluation indicated by the ratios and the recent grade change.