Is Reynolds Consumer Products, Inc. overvalued or undervalued?

As of 31 October 2025, the valuation grade for Reynolds Consumer Products, Inc. moved from very expensive to expensive, indicating a shift in perception regarding its valuation. The company appears to be overvalued based on its current metrics, with a P/E ratio of 13, a Price to Book Value of 2.15, and an EV to EBITDA of 9.30. In comparison, peers such as Coty, Inc. have a significantly higher P/E ratio of 25.97 and a lower EV to EBITDA of 8.38, while Inter Parfums, Inc. shows a more attractive valuation with a P/E of 23.23.
The company's recent performance has lagged behind the S&P 500, with a year-to-date return of -9.19% compared to the index's 16.30%, and a three-year return of -17.56% versus 76.66% for the S&P 500. This underperformance reinforces the notion that Reynolds Consumer Products is currently overvalued in the market.