Is Graham Corp. overvalued or undervalued?

As of 5 August 2025, the valuation grade for Graham Corp. has moved from very expensive to fair. The company appears to be fairly valued based on its current metrics. The P/E ratio stands at 54, while the EV to EBITDA ratio is 26.68, and the PEG ratio is notably low at 0.43, indicating potential growth relative to its valuation.
In comparison to its peers, Graham Corp.'s P/E ratio of 41.09 is higher than that of Hyster-Yale Materials Handling, Inc., which has a P/E of 15.05, but lower than Mayville Engineering Co., Inc. at 161.17. This suggests that while Graham Corp. is fairly valued, it is still more expensive than some peers. Over the past year, Graham Corp. has delivered an impressive return of 80.87%, significantly outperforming the S&P 500's return of 17.14%, reinforcing its favorable valuation position.