Is SiteOne Landscape Supply, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for SiteOne Landscape Supply, Inc. moved from expensive to very expensive, indicating a significant concern regarding its valuation. The company is currently overvalued, with a P/E ratio of 47, a Price to Book Value of 3.52, and an EV to EBITDA of 19.55. In comparison, peers such as CNH Industrial NV have a P/E of 19.42 and an EV to EBITDA of 10.28, highlighting the stark contrast in valuation metrics.
Despite a recent positive return of 2.58% over the past week compared to the S&P 500's 1.70%, the longer-term performance reveals a troubling trend, with SiteOne's YTD return at -8.92% against the S&P 500's 13.30%. This underperformance, coupled with its very expensive valuation, reinforces the conclusion that SiteOne Landscape Supply, Inc. is overvalued.