Is Fortive Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Fortive Corp. has moved from attractive to fair, indicating a shift in its perceived value. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 30, an EV to EBITDA of 16.23, and a Price to Book Value of 2.42. In comparison to peers, Fortive's P/E ratio of 19.50 is significantly lower than that of Rockwell Automation, which is considered expensive at 57.64, and Keysight Technologies at 59.54, suggesting that Fortive may be a more attractive investment relative to these competitors.
Despite its fair valuation, Fortive has underperformed in recent periods, with a year-to-date return of -13.88% compared to the S&P 500's 13.30%, and a one-year return of -16.41% against the S&P 500's 14.08%. This underperformance may reflect broader market trends or company-specific challenges that could influence future valuation.