Is Valmont Industries, Inc. overvalued or undervalued?

As of 26 September 2025, the valuation grade for Valmont Industries, Inc. has moved from expensive to very expensive, indicating a significant shift in its market perception. The company appears to be overvalued, as evidenced by its P/E ratio of 25, which is notably higher than its peer, Mueller Industries, Inc., which has a P/E of 18.16, and its EV to EBITDA ratio of 15.07, which also exceeds the industry average. Additionally, the PEG ratio stands at 2.46, further suggesting that the stock is priced at a premium relative to its growth prospects.
In comparison to its peers, RBC Bearings, Inc. has a much higher P/E of 48.57, while Gibraltar Industries, Inc. is valued more attractively with a P/E of 12.24. Despite Valmont's strong recent performance, with a 1Y return of 33.11% compared to the S&P 500's 15.64%, the elevated valuation metrics indicate that the stock may not be justified at its current price levels.