Is Zumiez, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Zumiez, Inc. has moved from fair to attractive, indicating a more favorable outlook. The company appears to be undervalued, particularly when considering its P/E ratio of 102, which is significantly higher than its peers like Shoe Carnival, Inc. at 15.54 and Caleres, Inc. at 7.43. Additionally, Zumiez has a price to book value of 0.76 and an EV to EBITDA ratio of 6.76, suggesting that it may be trading at a discount relative to its intrinsic value.
In terms of peer comparison, Zumiez's PEG ratio of 0.90 is more favorable than the industry average, indicating potential for growth relative to its price. Despite recent performance, where Zumiez's one-year return of -9.94% lags behind the S&P 500's 17.14%, the overall valuation metrics suggest that the stock may have room for appreciation.