Is Oil-Dri Corp. of America overvalued or undervalued?

As of 5 June 2025, the valuation grade for Oil-Dri Corp. of America has moved from attractive to very attractive, indicating a significant positive shift in its valuation outlook. The company is currently considered undervalued. Key ratios include a P/E ratio of 21, an EV to EBITDA of 11.20, and a ROCE of 24.44%, which are competitive compared to its peers.
In comparison, CVR Partners LP, which is rated very attractive, has a P/E ratio of 12.50 and an EV to EBITDA of 7.27, highlighting that Oil-Dri Corp. is trading at a premium relative to this peer. Additionally, LSB Industries, Inc. is rated risky with a P/E ratio of -21.99, further emphasizing the relative strength of Oil-Dri's valuation metrics. Notably, Oil-Dri has outperformed the S&P 500 significantly over various periods, including a 91.23% return over the past year, reinforcing its attractiveness as an investment.