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AVY Valuation

Avery Dennison Corp
$
177.790
-0.66(-0.370%)1D
  • Overview
  • Forecast
  • Valuation
  • Earnings

AVY Relative Valuation

AVY's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, AVY is overvalued; if below, it's undervalued.

Historical Valuation

Avery Dennison Corp (AVY) is now in the Undervalued zone, suggesting that its current forward PE ratio of 17.92 is considered Undervalued compared with the five-year average of 20.22. The fair price of Avery Dennison Corp (AVY) is between 177.91 to 217.98 according to relative valuation methord. Compared to the current price of 177.79 USD , Avery Dennison Corp is Undervalued By 0.07%.
Relative Value
Fair Zone
177.91-217.98
Current Price:177.79
0.07%
Undervalued
17.92
PE
1Y
3Y
5Y
Trailing
Forward
11.79
EV/EBITDA
Avery Dennison Corp. (AVY) has a current EV/EBITDA of 11.79. The 5-year average EV/EBITDA is 12.93. The thresholds are as follows: Strongly Undervalued below 10.42, Undervalued between 10.42 and 11.68, Fairly Valued between 14.19 and 11.68, Overvalued between 14.19 and 15.44, and Strongly Overvalued above 15.44. The current Forward EV/EBITDA of 11.79 falls within the Historic Trend Line -Fairly Valued range.
15.09
EV/EBIT
Avery Dennison Corp. (AVY) has a current EV/EBIT of 15.09. The 5-year average EV/EBIT is 16.35. The thresholds are as follows: Strongly Undervalued below 13.11, Undervalued between 13.11 and 14.73, Fairly Valued between 17.96 and 14.73, Overvalued between 17.96 and 19.58, and Strongly Overvalued above 19.58. The current Forward EV/EBIT of 15.09 falls within the Historic Trend Line -Fairly Valued range.
1.55
PS
Avery Dennison Corp. (AVY) has a current PS of 1.55. The 5-year average PS is 1.75. The thresholds are as follows: Strongly Undervalued below 1.29, Undervalued between 1.29 and 1.52, Fairly Valued between 1.98 and 1.52, Overvalued between 1.98 and 2.21, and Strongly Overvalued above 2.21. The current Forward PS of 1.55 falls within the Historic Trend Line -Fairly Valued range.
10.73
P/OCF
Avery Dennison Corp. (AVY) has a current P/OCF of 10.73. The 5-year average P/OCF is 14.34. The thresholds are as follows: Strongly Undervalued below 9.63, Undervalued between 9.63 and 11.99, Fairly Valued between 16.70 and 11.99, Overvalued between 16.70 and 19.05, and Strongly Overvalued above 19.05. The current Forward P/OCF of 10.73 falls within the Undervalued range.
13.67
P/FCF
Avery Dennison Corp. (AVY) has a current P/FCF of 13.67. The 5-year average P/FCF is 19.81. The thresholds are as follows: Strongly Undervalued below 11.56, Undervalued between 11.56 and 15.69, Fairly Valued between 23.94 and 15.69, Overvalued between 23.94 and 28.07, and Strongly Overvalued above 28.07. The current Forward P/FCF of 13.67 falls within the Undervalued range.
Avery Dennison Corp (AVY) has a current Price-to-Book (P/B) ratio of 6.32. Compared to its 3-year average P/B ratio of 7.20 , the current P/B ratio is approximately -12.18% higher. Relative to its 5-year average P/B ratio of 7.98, the current P/B ratio is about -20.77% higher. Avery Dennison Corp (AVY) has a Forward Free Cash Flow (FCF) yield of approximately 4.55%. Compared to its 3-year average FCF yield of 4.10%, the current FCF yield is approximately 11.05% lower. Relative to its 5-year average FCF yield of 4.32% , the current FCF yield is about 5.37% lower.
6.32
P/B
Median3y
7.20
Median5y
7.98
4.55
FCF Yield
Median3y
4.10
Median5y
4.32

Competitors Valuation Multiple

The average P/S ratio for AVY's competitors is 0.82, providing a benchmark for relative valuation. Avery Dennison Corp Corp (AVY) exhibits a P/S ratio of 1.55, which is 89.77% above the industry average. Given its robust revenue growth of -0.66%, this premium appears unsustainable.

Performance Decomposition

1Y
3Y
5Y
Market capitalization of AVY decreased by 18.00% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 7.91 to 8.51.
The secondary factor is the Revenue Growth, contributed -0.66%to the performance.
Overall, the performance of AVY in the past 1 year is driven by Margin Expansion. Which is more sustainable.
-0.66%
2.24B → 2.22B
Revenue Growth
+
7.59%
7.91 → 8.51
Margin Expansion
+
-24.93%
26.55 → 19.93
P/E Change
=
-18.00%
216.83 → 177.79
Mkt Cap Growth

FAQ

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Is Avery Dennison Corp (AVY) currently overvalued or undervalued?

Avery Dennison Corp (AVY) is now in the Undervalued zone, suggesting that its current forward PE ratio of 17.92 is considered Undervalued compared with the five-year average of 20.22. The fair price of Avery Dennison Corp (AVY) is between 177.91 to 217.98 according to relative valuation methord. Compared to the current price of 177.79 USD , Avery Dennison Corp is Undervalued By 0.07% .
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What is Avery Dennison Corp (AVY) fair value?

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How does AVY's valuation metrics compare to the industry average?

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What is the current P/B ratio for Avery Dennison Corp (AVY) as of Jul 28 2025?

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What is the current FCF Yield for Avery Dennison Corp (AVY) as of Jul 28 2025?

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What is the current Forward P/E ratio for Avery Dennison Corp (AVY) as of Jul 28 2025?

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What is the current Forward P/S ratio for Avery Dennison Corp (AVY) as of Jul 28 2025?