Is Bioventus, Inc. overvalued or undervalued?

As of 10 May 2022, the valuation grade for Bioventus, Inc. has moved from attractive to risky, indicating a shift in perception regarding its investment potential. The company appears to be overvalued given its high P/E ratio of 345, a PEG ratio of 3.00, and an EV to EBITDA of 10.75, which are significantly higher than many of its peers. For instance, Axogen, Inc. has a P/E ratio of -146.35 and an EV to EBITDA of 81.74, while ZimVie, Inc. shows a P/E of -80.95 and an EV to EBITDA of 16.76, both indicating a challenging environment for the sector.
In terms of performance, Bioventus has underperformed compared to the S&P 500, with a year-to-date return of -31.43% versus the index's 12.22%, and a one-year return of -38.41% compared to 17.14% for the S&P 500. This underperformance reinforces the notion that the stock may be overvalued in the current market context.