Is UFP Industries, Inc. overvalued or undervalued?

As of 19 September 2025, the valuation grade for UFP Industries, Inc. has moved from fair to attractive, indicating a more favorable assessment of its market position. The company appears to be undervalued, especially when considering its P/E ratio of 16, which is lower than the peer average of approximately 18.3, and an EV to EBITDA ratio of 8.59, which is also competitive compared to peers like Mohawk Industries, Inc. at 8.52. Additionally, UFP's ROCE stands at a solid 17.53%, suggesting efficient use of capital.
In comparison to its peers, UFP Industries, Inc. shows a more attractive valuation profile with a P/B ratio of 1.80, while Boise Cascade Co. has a lower P/E of 14.29, indicating that UFP may be a better investment opportunity. Despite recent stock performance lagging behind the S&P 500, with a YTD return of -15.38% compared to the index's 13.31%, the long-term outlook remains positive with a 3-year return of 26.45%. Overall, UFP Industries, Inc. presents a compelling case for investment given its attractive valuation metrics and potential for growth.