Is Mastercraft Boat Holdings, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Mastercraft Boat Holdings, Inc. moved from fair to very expensive, indicating a significant shift in its perceived value. The company appears overvalued based on its key ratios, including a P/E ratio of 40, an EV to EBITDA of 16.95, and a Price to Book Value of 1.63. 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. stands out as very attractive with a P/E of 27.02 and an EV to EBITDA of 17.38.
Despite a strong 1-week stock return of 6.26% compared to the S&P 500's 1.70%, the longer-term performance shows Mastercraft underperforming over 3 years and 5 years, with returns of just 0.73% and 0.78%, respectively, against the S&P 500's substantial gains. This suggests that while there may be short-term optimism, the overall valuation does not align with the company's performance relative to the broader market.