Is Mastercraft Boat Holdings, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Mastercraft Boat Holdings, Inc. has moved from fair to very expensive. The company appears to be overvalued based on its current metrics. Key ratios include a P/E ratio of 40, an EV to EBITDA of 16.95, and a Price to Book Value of 1.63, all of which are significantly higher than its peers, such as Malibu Boats, Inc. with a P/E of 41.72 and Marine Products Corp. with a more attractive P/E of 27.02.
In comparison to the S&P 500, Mastercraft Boat Holdings has shown a 1-week return of 6.26% against 1.70% for the index, indicating a short-term outperformance. However, over longer periods, such as the 3-year and 5-year returns, the company has lagged significantly behind the S&P 500, suggesting that its current valuation may not be justified in the context of its historical performance.