Is Myers Industries, Inc. overvalued or undervalued?

As of 7 April 2025, the valuation grade for Myers Industries, Inc. has moved from very attractive to very expensive, indicating a significant shift in its market perception. The company is currently considered overvalued. Key ratios include a P/E ratio of 18, an EV to EBIT of 13.10, and an EV to EBITDA of 8.51, which are relatively high compared to its peers. For instance, TriMas Corp. has a P/E of 40.97, while Daktronics, Inc. shows a P/E of 23.31, highlighting that Myers Industries is trading at a lower valuation relative to some competitors but still categorized as expensive.
The company's return over the last year stands at 1.57%, significantly lagging behind the S&P 500's return of 10.26%, further supporting the notion of overvaluation. Additionally, with a ROCE of 11.70% and ROE of 12.03%, the financial performance does not justify the current high valuation, reinforcing the conclusion that Myers Industries, Inc. is overvalued in the current market environment.