Is Escalade, Inc. overvalued or undervalued?

As of 5 September 2025, the valuation grade for Escalade, Inc. has moved from expensive to fair. Based on the current metrics, the company appears to be fairly valued. Key ratios include a P/E ratio of 15, an EV to EBITDA of 10.15, and a Price to Book Value of 1.23. In comparison, Malibu Boats, Inc. has a significantly higher P/E ratio of 41.72, indicating it is considered expensive, while Sturm, Ruger & Co., Inc. has a fair valuation with a P/E of 141.55.
In terms of stock performance, Escalade, Inc. has underperformed against the S&P 500 over the past year, with a return of -4.95% compared to the S&P 500's 17.14%. However, over a three-year period, Escalade has shown a return of 24.42%, which is significantly lower than the S&P 500's 70.41%. Overall, the current valuation suggests that Escalade, Inc. is fairly positioned in the market.