Is Lear Corp. overvalued or undervalued?

As of 7 November 2025, Lear Corp. has moved from expensive to fair in valuation grade. The company is currently fairly valued based on its financial metrics. Key ratios include a P/E ratio of 8, an EV to EBITDA of 4.49, and a Price to Book Value of 1.11. In comparison to peers, Autoliv, Inc. has a significantly higher P/E ratio of 18.06, while Allison Transmission Holdings, Inc. is also fairly valued with a P/E of 9.98.
Lear Corp. has outperformed the S&P 500 over the past week and month, with returns of 5.24% and 10.81%, respectively, while the S&P 500 experienced declines. However, the company's longer-term performance has lagged behind the index, particularly over the 3-year and 5-year periods.