Is Rogers Corp. overvalued or undervalued?

As of 10 June 2025, the valuation grade for Rogers Corp. has moved from fair to very expensive, indicating a significant shift in its market perception. The company is currently considered overvalued. Key ratios reveal a P/E ratio of 27, an EV to EBIT of 21.17, and an EV to EBITDA of 10.57, which are notably higher than its peers. For instance, Cabot Corp. has a P/E of 8.37 and an EV to EBITDA of 6.36, while The Chemours Co. shows a P/E of 11.48 and an EV to EBITDA of 7.46, highlighting the premium at which Rogers Corp. is trading.
The company's financial performance, reflected in a ROCE of 4.60% and a ROE of 3.59%, further underscores its overvaluation, especially when compared to the more attractive valuations of its peers. Additionally, Rogers Corp. has underperformed the S&P 500 significantly over various time frames, with a year-to-date return of -33.42% compared to the S&P 500's 2.44%. This performance, coupled with its elevated valuation metrics, reinforces the conclusion that Rogers Corp. is overvalued in the current market environment.