Is WESCO International, Inc. overvalued or undervalued?

As of 1 May 2025, the valuation grade for WESCO International, Inc. has moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears fairly valued based on its current metrics. Key ratios include a P/E ratio of 16, an EV to EBITDA of 11.13, and a Price to Book Value of 2.29, which suggest that the stock is reasonably priced compared to its earnings and book value.
In comparison to peers, WESCO's P/E ratio of 20.94 is lower than that of Pool Corp., which is considered very expensive at 30.46, and Applied Industrial Technologies, Inc., which has a P/E of 33.09. This positions WESCO as a more attractive investment relative to some of its competitors. Additionally, while WESCO's stock has outperformed the S&P 500 over the past year with a return of 28.93% compared to the index's 17.14%, it has lagged slightly over the last three years, with returns of 68.87% versus 70.41% for the S&P 500.