Is Old Dominion Freight Line, Inc. overvalued or undervalued?

As of 5 February 2025, the valuation grade for Old Dominion Freight Line, Inc. has moved from very attractive to fair. The company is currently fairly valued based on its financial metrics. Key ratios include a P/E ratio of 30, an EV to EBIT of 22.25, and a ROE of 27.12%.
In comparison to peers, J.B. Hunt Transport Services, Inc. has a higher P/E ratio of 39.82 and a lower EV to EBITDA of 15.05, indicating that Old Dominion is trading at a more reasonable valuation relative to its competitor. Additionally, while Old Dominion's stock has underperformed the S&P 500 year-to-date with a decline of 8.53% compared to the index's gain of 2.44%, its long-term performance remains strong with a 95.62% increase over the past five years.