Is European Wax Center, Inc. overvalued or undervalued?

As of 24 October 2025, the valuation grade for European Wax Center, Inc. has moved from fair to expensive, indicating that the stock is overvalued. The company exhibits a P/E ratio of 24, a Price to Book Value of 4.57, and an EV to EBITDA of 9.45, all of which suggest a premium valuation compared to its peers.
In comparison, Agiliti, Inc. has a much lower P/E of approximately -69.98, while Sonder Holdings, Inc. shows a P/E of -0.09, highlighting that European Wax Center, Inc. is trading at a higher multiple relative to these companies. Furthermore, the company's ROE of 19.43% and ROCE of 12.29% indicate solid profitability, but they do not justify the current valuation levels. Although specific return data is not available, the absence of a return comparison with the S&P 500 does not reinforce the valuation story, suggesting caution for potential investors.