Is The ODP Corp. overvalued or undervalued?

As of 31 October 2025, The ODP Corp. has moved from very expensive to expensive. The company is currently overvalued based on its valuation metrics. The P/E ratio stands at 9, while the EV to EBITDA ratio is 4.92 and the Price to Book Value is 1.50. In comparison, peers such as Group 1 Automotive, Inc. have a P/E of 18.26 and an EV to EBITDA of 13.38, indicating that The ODP Corp. is trading at a significant premium relative to its industry counterparts.
In terms of recent performance, The ODP Corp. has shown a year-to-date return of 22.60%, outperforming the S&P 500's 16.30% during the same period, but it has lagged over longer time frames, with a 3-year return of -29.54% compared to the S&P 500's 76.66%. This mixed performance, combined with its elevated valuation ratios, suggests that the stock may not be a compelling investment at its current price.