Is Liquidity Services, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Liquidity Services, Inc. moved from fair to attractive, indicating a positive shift in its perceived value. The company appears to be undervalued, supported by a P/E ratio of 31, an EV to EBITDA of 16.34, and a PEG ratio of 1.19. In comparison to peers, Chewy, Inc. has a significantly higher P/E of 44.86, while Global Industrial Co. shows a fair valuation with a P/E of 23.39, suggesting that Liquidity Services, Inc. offers a more attractive valuation relative to its industry.
Recent stock performance shows that Liquidity Services, Inc. outperformed the S&P 500 over the past year, with a return of 22.94% compared to the index's 17.14%. This, alongside its strong ROCE of 59.09% and ROE of 13.54%, reinforces the notion that the company is well-positioned for growth and may be undervalued in the current market.