Is Franklin Electric Co., Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Franklin Electric Co., Inc. has moved from fair to expensive, indicating that the stock is overvalued. The company exhibits a P/E ratio of 21, a Price to Book Value of 3.04, and an EV to EBITDA of 12.60, which are all higher than some of its peers, suggesting a premium valuation. Notably, Chart Industries, Inc. has a higher P/E of 31.47, while MKS Instruments, Inc. offers a more attractive P/E of 23.90.
In terms of performance, Franklin Electric has underperformed the S&P 500 on a year-to-date basis with a return of -0.15% compared to the index's 13.30%. Over the past three years, however, it has returned 11.79%, significantly lower than the S&P 500's 81.19%, reinforcing the notion that the stock may be overvalued relative to its growth prospects.