Is H.B. Fuller Co. overvalued or undervalued?

As of 17 October 2025, the valuation grade for H.B. Fuller Co. has moved from attractive to very expensive, indicating a shift towards overvaluation. The company appears to be overvalued based on its P/E ratio of 16, which is significantly lower than the peer average of 19.57, and an EV to EBITDA ratio of 9.79, which is also below the industry average. Additionally, the PEG ratio stands at 1.21, suggesting that the stock may not be priced favorably relative to its growth expectations.
When comparing H.B. Fuller to its peers, Axalta Coating Systems Ltd. has a P/E of 19.81 and an EV to EBITDA of 9.89, while CSW Industrials, Inc. shows a much higher P/E of 32.31, indicating that H.B. Fuller is lagging behind in valuation metrics. Furthermore, the stock's performance has been disappointing, with a year-to-date return of -12.85% compared to the S&P 500's positive return of 13.30%, reinforcing the notion that the stock may be overvalued in the current market environment.