Is TopBuild Corp. overvalued or undervalued?

As of 10 September 2025, TopBuild Corp. moved from expensive to fair in valuation grade. The company appears fairly valued based on its metrics, with a P/E ratio of 17, an EV to EBITDA of 11.25, and a PEG ratio of 4.19. In comparison to peers, MasTec, Inc. has a significantly higher P/E of 57.22, while Fluor Corp. is rated very attractive with a P/E of 1.61, indicating a wide range of valuations within the industry.
Despite recent underperformance against the S&P 500 over the past week and month, where TopBuild Corp. returned -1.75% and -2.07% respectively, it has shown strong performance year-to-date with a return of 34.54%, significantly outpacing the S&P 500's 12.22%. This suggests that while the stock may be fairly valued now, its growth potential remains robust compared to broader market trends.