Is Vail Resorts, Inc. overvalued or undervalued?

As of 5 June 2025, Vail Resorts, Inc. has moved from an expensive valuation grade to very attractive. The company is currently considered undervalued, with a P/E ratio of 20, an EV to EBITDA of 10.26, and a remarkable dividend yield of 525.44%. In comparison, Carnival Corp. has a P/E of 14.84 and an EV to EBITDA of 9.51, while Wyndham Hotels & Resorts, Inc. is rated expensive with a P/E of 19.83 and an EV to EBITDA of 9.29.
Despite a challenging year-to-date performance of -15.49% compared to the S&P 500's 2.44%, Vail Resorts presents a compelling investment opportunity given its strong ROE of 36.44% and ROCE of 17.90%. The current valuation metrics suggest that the stock is trading at a discount relative to its peers, reinforcing the conclusion that it is undervalued.