At a first glance, Village Super Market (NASDAQ:VLGEA) might look like a bargain against its peers. According to the following peer comparisons:
|EV/EBITDA||Forward P/E||Dividend Yield|
Source: Yahoo Finance
VLGEA values at 5.5x EV/EBITDA while Kroger (NYSE:KR) trades at 7.44x EV/EBITDA and Whole Foods Market (WMF) is at 13.77x EV/EBITDA. VLGEA also offers 4% dividend yield, which is the highest among its peers. If we take the average of net income for the past four years, VLGEA can earn about $25.9 million per year relative to its $350.9 million market cap implying 13.55x P/E multiple.