Is UFP Industries, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for UFP Industries, Inc. has moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears fairly valued based on its current metrics, with a P/E ratio of 16, a price to book value of 1.80, and an EV to EBITDA ratio of 8.59. In comparison to peers, Mohawk Industries, Inc. has a P/E of 17.49 and an EV to EBITDA of 8.52, while Boise Cascade Co. shows a P/E of 14.29 and an EV to EBITDA of 7.73, suggesting that UFP Industries is competitively positioned within its industry.
Despite its fair valuation, UFP Industries has underperformed relative to the S&P 500 across multiple time frames, notably with a 1-year return of -23.60% compared to the S&P 500's 17.14%. This underperformance may warrant caution for potential investors, even as the valuation metrics suggest a balanced outlook.