Is The Chefs' Warehouse, Inc. overvalued or undervalued?

As of 7 August 2025, the valuation grade for The Chefs' Warehouse, Inc. has moved from very expensive to expensive, indicating a slight improvement in perceived value but still suggesting that the stock is overvalued. The company is currently assessed as overvalued, supported by a P/E ratio of 42, a Price to Book Value of 4.74, and an EV to EBITDA of 15.97.
In comparison to its peers, The Chefs' Warehouse has a higher P/E ratio than United Natural Foods, Inc. at 15.05 and Dole Plc at 8.44, indicating a significant premium. Additionally, its PEG ratio of 0.75 suggests that while growth expectations may justify some valuation, it remains high relative to peers. The stock has outperformed the S&P 500 across multiple periods, with a year-to-date return of 35.22% compared to the S&P 500's 12.22%, reinforcing the narrative of strong performance despite its overvaluation.