Is Valmont Industries, Inc. overvalued or undervalued?

As of 22 April 2025, the valuation grade for Valmont Industries, Inc. has moved from fair to expensive, indicating that the company is overvalued. The current P/E ratio stands at 25, which is higher than the peer average of 24.92 for Valmont, while its EV to EBITDA ratio is 15.07, again above the peer average of 14.95. Additionally, the PEG ratio of 2.46 suggests that the stock may not be priced attractively relative to its growth rate.
In comparison to its peers, RBC Bearings, Inc. is classified as very expensive with a P/E of 48.07, while Mueller Industries, Inc. is considered very attractive with a P/E of 15.12. The notable outperformance of Valmont's stock, with a 1-year return of 18.04% compared to the S&P 500's 10.26%, does not negate the current overvaluation. Overall, Valmont Industries, Inc. appears to be overvalued based on its financial ratios and peer comparisons.