Is 3D Systems Corp. overvalued or undervalued?

As of 9 November 2022, the valuation grade for 3D Systems Corp. moved from attractive to risky, indicating a shift in perception regarding its financial health and market position. The company appears to be overvalued, particularly given its negative earnings and poor return metrics. Key ratios include a Price to Book Value of 1.64, an EV to EBIT of -2.57, and an EV to EBITDA of -3.43, all of which suggest significant operational challenges.
In comparison to peers, 3D Systems Corp. has a P/E ratio of 39.54, which is notably lower than the expensive Model N, Inc. at 1182.69, but higher than the fair Grid Dynamics Holdings, Inc. at 36.15. The company's recent stock performance has been mixed; while it outperformed the S&P 500 over the past week and month, it has significantly underperformed over the longer term, with a year-to-date return of -24.70% compared to the S&P 500's 12.22%. This reinforces the notion that the stock is currently overvalued amidst a challenging operational landscape.