Is Allurion Technologies, Inc. overvalued or undervalued?

As of 9 August 2023, the valuation grade for Allurion Technologies, Inc. has moved from does not qualify to risky. Based on the analysis, the company appears to be overvalued. The P/E ratio is not applicable due to the company being loss-making, while the Price to Book Value stands at -0.29, indicating negative equity. Additionally, the EV to Sales ratio is 1.11, suggesting that investors are paying more than the company's sales would justify.
In comparison to its peers, Allurion Technologies has a P/E ratio of -0.4984, which is significantly higher than Pulse Biosciences, Inc. at -17.3411 and NeuroPace, Inc. at -14.1563, both of which also fall under the risky category. The company's recent stock performance has been poor, with a year-to-date return of -77.58%, contrasting sharply with the S&P 500's return of 2.44% over the same period, reinforcing the notion that Allurion Technologies is currently overvalued.