Is Assembly Biosciences, Inc. overvalued or undervalued?

As of 28 March 2024, the valuation grade for Assembly Biosciences, Inc. has moved from does not qualify to risky, indicating increased concerns regarding its financial health. The company is currently considered overvalued based on its financial ratios and peer comparisons. Key ratios include a Price to Book Value of 4.57, an EV to Sales ratio of 1.04, and a staggering ROE of -147.12%, reflecting significant losses.
In comparison to its peers, Assembly Biosciences shows a less favorable position; for instance, Rezolute, Inc. has a P/E ratio of -4.90 and an EV to EBITDA of -3.46, while Clearside Biomedical, Inc. also carries a risky valuation with an EV to EBITDA of -3.97. The company's recent stock performance has been mixed, with a year-to-date return of 8.37%, which is better than the S&P 500's 2.44%, but this does not mitigate the overall valuation concerns.