Is Veralto Corp. overvalued or undervalued?

As of 28 July 2025, Veralto Corp. has moved from fair to attractive in its valuation grade, indicating a more favorable outlook. The company appears to be undervalued, supported by a P/E ratio of 28, an EV to EBITDA of 19.99, and a PEG ratio of 3.17. In comparison, a peer such as Veralto Corp. has a higher P/E of 29.707 and a lower EV to EBITDA of 20.8457, suggesting that Veralto may offer better value relative to its peers.
Despite recent performance, where Veralto's stock returned -0.95% over the past year compared to the S&P 500's 17.14%, the underlying valuation metrics suggest that the stock is positioned for potential upside. The strong ROCE of 33.50% and ROE of 37.97% further reinforce the attractiveness of Veralto Corp. as an investment opportunity.