Is World Kinect Corp. overvalued or undervalued?

As of 18 June 2025, the valuation grade for World Kinect Corp. has moved from fair to very expensive, indicating a shift towards overvaluation. The company is currently assessed as overvalued based on its P/E ratio of 15, which is higher than the industry average of approximately 14.59. Additionally, its EV to EBITDA ratio stands at 4.59, aligning closely with the peer average, but the PEG ratio of 0.55 suggests that the stock may be priced too high relative to its growth potential.
In comparison to peers, World Kinect Corp. shows a lower return on equity (ROE) of 5.67% and a return on capital employed (ROCE) of 14.01%, which are less compelling than some competitors in the sector. The significant dividend yield of 265.80% is notable, yet it may not be sustainable given the overall valuation context. Recent stock performance has lagged behind the S&P 500, with a year-to-date return of -0.40% compared to the index's 2.44%, further reinforcing the notion that the stock is currently overvalued.