Is Skechers U.S.A., Inc. overvalued or undervalued?

As of 27 June 2025, the valuation grade for Skechers U.S.A., Inc. has moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears to be fairly valued based on its current financial metrics. Key ratios include a P/E ratio of 13, an EV to EBITDA of 8.33, and a ROCE of 20.22%.
In comparison with peers, Skechers' P/E ratio is lower than On Holding AG's 74.98 but higher than Crocs, Inc.'s 10.59, which is rated very attractive. Additionally, Ralph Lauren Corp. has a P/E of 45.59 and is considered fair. The recent stock performance shows that Skechers has underperformed the S&P 500 over the past year, with a return of -9.68% compared to the S&P's 12.59%. Overall, the combination of ratios and peer comparisons suggests that Skechers is fairly valued in the current market environment.