Is Element Solutions, Inc. overvalued or undervalued?

As of 23 April 2025, Element Solutions, Inc. has moved from a fair to an attractive valuation grade, indicating a shift towards being undervalued. The company currently exhibits a P/E ratio of 17, an EV to EBITDA ratio of 12.56, and a PEG ratio of 0.46, which suggests that it is trading at a discount compared to its growth prospects.
In comparison to its peers, Element Solutions is positioned favorably against Eastman Chemical Co., which has a P/E of 15.56 and an EV to EBITDA of 10.52. This peer analysis reinforces the notion that Element Solutions is undervalued, particularly given its strong dividend yield of 138.80% and a ROE of 12.76%. Despite recent underperformance relative to the S&P 500 over the past year, the company's attractive valuation metrics suggest potential for future appreciation.