Is Steelcase, Inc. overvalued or undervalued?

As of 3 October 2025, the valuation grade for Steelcase, Inc. has 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 10, an EV to EBITDA ratio of 5.17, and a Price to Book Value of 1.25. In comparison, its peer MillerKnoll, Inc. has a significantly higher P/E ratio of -77.42, while Steelcase's PEG ratio of 0.28 suggests that it may be overvalued relative to its growth expectations.
Recent stock performance shows that Steelcase has outperformed the S&P 500 year-to-date, with a return of 45.60% compared to the S&P 500's 14.18%. However, over the past five years, Steelcase's return of 49.78% lags behind the S&P 500's impressive 100.56% return, reinforcing the notion that while the stock has had a strong recent performance, its current valuation may not be justified in the long term.