Is Innospec, Inc. overvalued or undervalued?

As of 3 October 2025, the valuation grade for Innospec, Inc. has moved from attractive to fair. The company appears to be fairly valued based on its current metrics. Key ratios include a P/E ratio of 14, an EV to EBITDA of 10.31, and a PEG ratio of 0.82, which suggest that the stock is reasonably priced relative to its earnings growth potential.
In comparison to its peers, Innospec's P/E ratio of 14.56 is lower than that of Eastman Chemical Co. at 15.68, indicating a more favorable valuation. However, it is higher than Ingevity Corp.'s P/E of 11.75, which reflects a more cautious market sentiment towards that company. Notably, Innospec's stock has underperformed relative to the S&P 500, with a year-to-date return of -28.42% compared to the index's 14.18%, reinforcing the notion that the stock is fairly valued in a challenging market environment.