Is Mastercraft Boat Holdings, Inc. overvalued or undervalued?

As of 27 August 2025, the valuation grade for Mastercraft Boat Holdings, Inc. moved from risky to very expensive, indicating a significant shift in its perceived value. The company appears overvalued based on its current financial metrics, with a P/E ratio of 40, a price-to-book value of 1.63, and an EV to EBITDA ratio of 16.95. In comparison, peers such as Malibu Boats, Inc. have a P/E of 41.72 and an EV to EBITDA of 10.26, while Marine Products Corp. is valued more attractively with a P/E of 27.02 and an EV to EBITDA of 17.38.
Despite a strong one-year return of 25.01%, which outperformed the S&P 500's 17.14%, the company's long-term performance has lagged significantly, with a three-year return of only 4.13% compared to the S&P 500's 70.41%. This disparity, along with the high valuation ratios, suggests that Mastercraft Boat Holdings, Inc. is currently overvalued in the market.