Is Flowers Foods, Inc. overvalued or undervalued?

As of 18 June 2025, the valuation grade for Flowers Foods, Inc. has moved from fair to very attractive, indicating a significant improvement in its perceived value. The company is currently undervalued, with a P/E ratio of 14, which is slightly above the industry average of approximately 13.69. Additionally, the EV to EBITDA ratio stands at 10.49, suggesting that the company is trading at a reasonable multiple compared to its earnings potential.
Flowers Foods, Inc. shows a strong dividend yield of 535.52%, which is notably high and may appeal to income-focused investors. In comparison to its peers, such as the industry average P/E and EV to EBITDA ratios, Flowers Foods appears to offer a compelling investment opportunity. Despite recent underperformance against the S&P 500, the company's robust ratios and attractive valuation suggest it may be a good candidate for investors looking for value in the current market.