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, a Price to Book Value of 2.42, and an EV to EBITDA of 16.23. In comparison to its peers, Fortive's P/E ratio of 19.50 is significantly lower than that of Rockwell Automation at 57.64 and Keysight Technologies at 59.54, suggesting that Fortive may be a more appealing investment relative to these companies.
Despite its fair valuation, Fortive has underperformed in the market, with a year-to-date return of -13.88% compared to the S&P 500's 13.30%. This trend continues over longer periods, with a 5-year return of -3.80% against the S&P 500's 91.29%, highlighting the challenges the company faces in generating investor returns.