Valuation of ABC Corporation's Stock

ABC Corporation operates in the consumer goods sector and has a stable market presence. An analyst is using market-based valuation methods to determine the appropriate fair value of ABC's stock. The analyst identifies several comparable companies and compiles their Price-to-Earnings (P/E) ratios. After analyzing the ratios of similar firms, the analyst notes that ABC Corporation's P/E ratio stands at 15, while the average P/E ratio for the peers is 18.

Based on this information, the analyst is tasked with choosing the most plausible statement regarding ABC Corporation's market valuation.