Is Franklin Covey Co. overvalued or undervalued?

As of 7 April 2025, Franklin Covey Co. has moved from a fair to an attractive valuation grade. The company is currently considered undervalued, with a P/E ratio of 30, a Price to Book Value of 8.06, and an EV to EBITDA of 13.14. Notably, the company's ROCE stands at an impressive 82.85%, and ROE is at 27.21%, indicating strong profitability metrics.
In comparison to its peers, Franklin Covey Co. has a P/E ratio of 29.80, while CRA International, Inc. is at 24.60, and SP Plus Corp. is deemed very expensive at 25.27. The PEG ratio for Franklin Covey is 4.89, which is higher than CRA's 1.16, suggesting that while the company is growing, it may be priced at a premium relative to its growth rate. Recent stock performance has lagged behind the S&P 500, with a year-to-date return of -39.94% compared to the S&P's 2.44%, reinforcing the undervaluation perspective.