Is Universal Logistics Holdings, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Universal Logistics Holdings, Inc. has moved from expensive to attractive, indicating a shift towards a more favorable assessment. The company appears undervalued based on its current metrics, with a P/E ratio of 9, an EV to EBITDA ratio of 5.15, and an EV to Sales ratio of 0.85, which are significantly lower than the peer average P/E of 11.61 for Heartland Express, Inc., which is considered risky.
Despite its attractive valuation, Universal Logistics has underperformed compared to the S&P 500, with a year-to-date return of -45.89% versus the S&P 500's 12.22%. This stark contrast in returns highlights the potential for recovery in the stock price, given its current valuation metrics.