Is Powell Industries, Inc. overvalued or undervalued?

As of 17 October 2025, Powell Industries, Inc. moved from fair to attractive in its valuation grade, indicating a shift towards being undervalued. The company is currently considered attractive with a P/E ratio of 14, a PEG ratio of 0.21, and an impressive ROCE of 136.13%. In comparison to peers, Encore Wire Corp. has a P/E of 14.48, while AZZ, Inc. shows a lower P/E of 13.06, reinforcing Powell's relative valuation appeal.
With a strong dividend yield of 51.37% and a solid return on equity of 32.02%, Powell Industries demonstrates robust financial health. Notably, the company's stock has outperformed the S&P 500 across multiple periods, with a year-to-date return of 49.20% compared to the S&P 500's 13.30%, further supporting the case for its attractive valuation.