Is Haverty Furniture Cos., Inc. overvalued or undervalued?

As of 24 February 2025, the valuation grade for Haverty Furniture Cos., Inc. moved from expensive to very attractive, indicating a significant improvement in its perceived value. The company appears undervalued based on its current metrics, with a P/E ratio of 28, a Price to Book Value of 1.95, and an EV to EBITDA of 11.49. In comparison, its peers such as MarineMax, Inc. have a P/E of 43.30 and Monro, Inc. has a P/E of 23.95, suggesting that Haverty Furniture is trading at a lower valuation relative to its industry.
Despite a challenging performance over the past year, where it returned -12.90% compared to the S&P 500's 17.14%, the long-term outlook remains promising with a 5-year return of 7.80% against the S&P 500's 96.61%. This discrepancy reinforces the notion that Haverty Furniture may be undervalued in the current market context.